Credit Suisse observes the market appears to be doubting or fearing the FY20 capital expenditure guidance, after the stock slumped -11% versus its peers.
However, the broker suspects the company was getting the negative news out of the way and is poised to deliver an upgrade to the long-term production outlook in August.
Several positive catalysts are anticipated in the next six months and Credit Suisse upgrades to Outperform from Neutral. Target is $2.49.
Sector: Energy.
Target price is $2.49.Current Price is $2.11. Difference: $0.38 – (brackets indicate current price is over target). If BPT meets the Credit Suisse target it will return approximately 15% (excluding dividends, fees and charges – negative figures indicate an expected loss).
