Talisman Energy Doubled In Price Over The Past Week. Which Oil Peers Are The Closest? Could They Be Next?

Talisman Energy Inc. (USA)’s TLM stock more than doubled in price since last Tuesday, jumping from $3.74 to $7.53 in just seven days (and some analysts believe that this deal could be similar to dot-com bubble era deals). The upsurge was set in motion by speculation regarding a possible takeover from Spain's Repsol SA REPYY. According to sources reported by The Globe and Mail late Monday, Repsol is offering $8.3 billion, or $8.00 per share to take total control over Talisman. It is said that the company’s Board of Directors is reviewing the offer.

While the market seems to believe that the takeover will go through, Morningstar Analyst David Meats said he is not convinced that this will actually happen, as he thinks the company values itself for more than what Repsol is offering.

Related article: Talisman Energy Speculation: Which Hedge Funds Could Benefit?

So, just in case you are not convinced about this deal, like several other analysts, here’s some other similar oil stocks –in terms of market cap- that could skyrocket soon:

Vermilion Energy Inc VET

Vermilion is up almost 6 percent on Tuesday. With $4.23 billion in market cap (compared to $5.29 billion for Talisman), and operations in Canada, same as Talisman, a takeover should not be discarded. Moreover, several insiders have been buying the company’s stock recently so, keeping an eye on it might not be a bad idea.

Marathon Oil Corporation MRO

Marathon is considerably bigger than the aforementioned companies. With a $16.86 billion market cap, a takeover is not as likely, but still shouldn’t be discarded. Also, low oil prices have sent the stock on a downtrend, losing more than 36 percent over the past three months. Betting on a recoup does not seem wild, and several hedge funds are already doing so by investing in several oil stocks that fell considerably lately.