Investment Firms
By Iain Gilbert
Date: Tuesday 01 Feb 2022
LONDON (ShareCast) - (Sharecast News) - Analysts at Berenberg lowered their target price on exploration and production firm Kistos from 530.0p to 455.0p on Tuesday but said a recent accretive acquisition would provide the group with "material cash flow".
Kistos announced the acquisition of an interest in the Greater Laggan Area from TotalEnergies on Monday, a move Berenberg sees adding roughly 85% to pro-forma 2022 production and about 33% to the company's reserve base.
However, the German bank also said results of Kistos' Q11-B appraisal were also announced and came in "significantly below expectations", with the main reservoir water-wet, although it acknowledged there was "some encouragement" in two shallower horizons.
"The net effect of our changes is a 15% reduction in risked NAV to €494.0m, or 497.0p per share (from 583.0p per share). We continue to exclude the M10/M11 assets from our price target, which is now set at 455.0p (from 530.0p) - offering circa 20% upside from the current share price - and we retain our 'buy' rating," said the analysts.
"On our updated forecasts, the shares are trading on FY 2022 EV/EBITDA of 1.5x, EV/DACF of 2.2x and an FCF yield of 40% (or 12% once adjusting for the GLA consideration)."
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Currency | UK Pounds |
Share Price | 137.00p |
Change Today | -1.00p |
% Change | -0.72 % |
52 Week High | 272.00 |
52 Week Low | 136.00 |
Volume | 123,961 |
Shares Issued | 82.86m |
Market Cap | £113.52m |
Value |
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Price Trend |
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Income |
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Growth |
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No dividends found |
Time | Volume / Share Price |
16:35 | 20 @ 140.00p |
16:35 | 10,100 @ 137.00p |
16:35 | 8,152 @ 137.00p |
16:35 | 1,848 @ 137.00p |
16:35 | 100 @ 137.00p |
CEO | Peter Mann |
CFO | Richard Slape |
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