Note below is from Neal Dingmann at Truist Financial on 8-15-2022
PDC Energy, Inc. (PDCE, $62.71, Buy with an updated price target of $97.00)
Meeting with PDC management suggests the Ops Hiccups Only Temporary, Providing Opportune Entry
PDC suggested most of the 2Q22 production miss was a result of largely one time issues that have mostly been rectified. While we and investors are likely to hold the company to higher operating standards in the coming quarters after the recent problems, we believe PDC has a handle on the recent operational constraints.
After our earnings/cash flow revisions and the latest share sell-off, we forecast the company to generate a FCF yield of nearly 30%, which is among the highest in our coverage group.
Neal Dingmann
My current valuation of PDCE is $142.00, but I will be taking a hard look at it later this week.
PDC Energy (PDCE) Price Target - Aug 15
PDC Energy (PDCE) Price Target - Aug 15
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group