UPDATE: Canaccord Genuity Upgrades Talisman Energy to Buy; Negative Catalysts Removed
Canaccord Genuity raised its rating on Talisman Energy (NYSE: TLM) from Hold to Buy.
Canaccord Genuity said, "Both takeout speculation and operational improvement expectations are largely washed out of the stock, in our view. Since the NXY takeover announcement on 7/22 (pre-market), TLM shares are down 4%, having underperformed peers by 14% (Figure 1). Additionally, since Talisman reported Q3 results on 10/30, shares are down 12%, having underperformed peers by 11%. Consequently, at 4.5x 2013E DACF, the stock is trading at the 4.5x it was trading at the day before TLM reported its Q3/12 results, which is where we saw a fundamental-based bottom on the stock."
Talisman Energy closed at $10.65 on Wednesday.
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Tags: Canaccord Genuity