HighPeak Energy falls after Gerdes turns bearish on lower production, higher opex

HighPeak Energy

07/03/2024 17:05

** Oil and gas firm HighPeak Energy's  HPK.O  shares down
11.2% at $14.15 
    ** Gerdes Energy Research double downgrades to "sell" from
"buy", cuts PT to $12 from $20, a 24.7% downside to stock's last
close  
    ** Co forecast on Wednesday its 2024 production would be
between 43,000 to 47,000 barrels of oil equivalent per day
(boepd) while it reported Q4 production of 50,000 boepd 
    ** Brokerage says co's 2024 production would be about 20%
lower while its capital intensity would be about 10% higher 
    ** "HighPeak exhibits the industry's highest capital
intensity partly offset by higher cash margin" - brokerage 
    ** Out of the three brokerages covering the stock, two rate
it "buy" and one "sell"; their median PT is $25 - LSEG 
    ** Up to last close, stock is marginally down YTD 

 (Reporting by Sourasis Bose in Bengaluru)
 ((Sourasis.bose@thomsonreuters.com))