- Canadian Natural Resources (CNQ +5.3%) is upgraded to Overweight from Neutral with a C$40 price target, raised from C$28, at J.P. Morgan, even after the stock had gained 24% during the past five days of trading heading into today.
- The firm says CNQ's comprehensive multi-year update provided with its Q4 earnings call bolsters confidence that the company has a top-tier sustaining capex profile with the ability to flex its balance sheet within its target leverage range in the current period of higher capital spending and low commodity prices.
- JPM says the stock's total return potential is ~25%, best in class in its coverage group, which averages a mere 2%.