Laredo Petroleum (LPI) Update - Jan 14
Posted: Thu Jan 14, 2021 2:13 pm
Since my last newsletter on 12-29-2020, LPI is up 33%.
Just prior to drafting the newsletter, I got a report from Goldman Sachs where they rated LPI a SELL with a price target of $14.00. I found it odd because GS had turned bullish on oil prices, with the head of their global commodities research group predicting that Brent would top $65/bbl by late 2021.
So, I double check my forecast/valuation model and actually reduced my valuation to $30.00/share, compared to the $20.71 closing price on 12-26-2020.
I am updating my forecast/valuation model now and my valuation is going to end up a lot higher.
Just prior to drafting the newsletter, I got a report from Goldman Sachs where they rated LPI a SELL with a price target of $14.00. I found it odd because GS had turned bullish on oil prices, with the head of their global commodities research group predicting that Brent would top $65/bbl by late 2021.
So, I double check my forecast/valuation model and actually reduced my valuation to $30.00/share, compared to the $20.71 closing price on 12-26-2020.
I am updating my forecast/valuation model now and my valuation is going to end up a lot higher.