November 2, 2018 / 6:35 PM / 8 months ago

BUZZ-Encana Corp: Continues slump as brokerages cut PTs after deal

** Shares of oil and gas producer down ~6 pct at C$11.14; down for second day in a row while U.S.-listed shares touch $8.45 in the session to over a 15 month low

** Atleast 5 brokerages cut PTs on $5.5 bln deal to buy Newfield Exploration Co

** Jefferies cuts PT of U.S.-listed stock to $14 from $17; CIBC cuts to $13 from $15, also downgrades to “underperform” from “neutral”; RBC cuts to $14 from $16; Raymond James cuts to $17 from $18

** Raymond James also downgrades to “outperform” from “strong buy” citing historical performance; says asset quality does not truly represent ECA’s ‘core of the core’

** Transaction dilutes the overall quality of ECA’s portfolio - Jefferies

** 21 of 27 brokerages rate the U.S.-listed stock “buy” or higher, 5 “hold” and 1 “sell”; median PT $16.91

** Including Friday’s losses, ECA.TO has fallen ~34 pct while ECA.N has fallen ~36 pct (Reporting by Shanti S Nair in Bengaluru)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below