Canaccord Adams has boosted its price target on Imperial Oil Ltd. (IMO) after the company reported better-than-expected third quarter results.
Analyst Terry Peter’s new target is C$50 per share, up from C$46.75, while maintaining a “hold” recommendation. He also revised his 2008 earnings per share forecast to C$3.00 from C$2.93, while cutting his 2007 number by 2¢ to C$3.10.
“Better-than-expected results were driven by higher crude oil realizations and higher Cold Lake and Syncrude volumes,” he told clients in a note. “The stronger earnings were partially offset by lower-than-expected natural gas volumes due to a decline in production from the gas cap at Wizard Lake and natural decline in other properties in the Western Canadian Sedimentary Basin.”
IMO 1-yr chart: