Street View: ConocoPhillips checks all boxes for sustained outperformance

Median Technologies SA

09/02/2024 14:24

** U.S. oil and gas producer ConocoPhillips  COP.N  on
Thursday beat Wall Street estimates for Q4 profit, helped by
higher production in the U.S. Permian Basin and a recent
acquisition
    ** Median PT of 28 brokerages covering the stock is $137 -
LSEG data
    
    2024 CASH RETURN OUTLOOK IN FOCUS
    ** Truist Securities ("buy", PT: $173) sees COP's $9 bln
return of capital target for 2024 as "conservative" given co's
improved free cash flow (FCF) 
    ** "Operations continue to trend positively, which we think
will result in continued record levels throughout this year" -
Truist Securities 
    ** Morgan Stanley ("overweight", PT: $123) says COP's
high-quality, low-cost portfolio underpins attractive FCF and
shareholder returns; brokerage adds "COP checks all the boxes
for sustained outperformance"
    ** Susquehanna ("positive", PT: $133) sees COP generating
~$9.5 bln in pre-dividend FCF during 2024 and meeting their
return of capital targets with internally generated cash flows
    ** Gerdes Energy Research ("buy", PT: $145) says "From 2024
through 2028, ConocoPhillips should generate ~$53.2 billion of
FCF, which is ~40% of the company's market capitalization" 
    

 (Reporting by Reshma Rockie George in Bengaluru)
 ((Reshma.George@thomsonreuters.com))