UPDATE: Societe Generale Downgrades Murphy Oil Corporation to Hold, Reiterates $65 PT

In a report published Wednesday, Societe Generale downgraded its rating on Murphy Oil Corporation

from Buy to Hold, and reiterated its $65.00 price target. Societe Generale noted, “We are lowering our rating on MUR to Hold, from Buy, on valuation following the recent share price rally. Today, MUR announced the planned spin-off of its U.S. downstream business, a $2.50/sh special dividend (4.2% yield) and $1B buyback (8.7% of market cap). On the conference call MUR stated it hired bankers to examine more potential sales that could include its 5% Syncrude oil sands stake and Montney shale gas assets in Canada. Meantime, MUR is still looking for a buyer for its Milford Haven, Whales refinery and retail locations in the U.K. Management noted the portfolio changes and shareholder returns were a result of consistent feedback from many shareholders. Unsurprisingly, they also said it shouldn't suggest in any way that they are considering a sale of MUR itself.” Murphy Oil Corporation closed on Tuesday at $63.74.