Shares in Oil firm Tullow (TLW.L) were up over 6% this morning after Citigroup raised its rating on the stock to BUY from NEUTRAL citing the companies “quality and defensive” portfolio as being undervalued by the markets.
Citigroups current estimate for the Net Asset Value of Tullow (TLW.L) is around 354p which the shares currently trade below. This takes into account a long term oil price of around $75 barrel and 10% discount.
Commenting Citigroup said “Our core NAV includes no value for exploration/appraisal upside in Tullow’s portfolio and risks by c15% its non-sanctioned developments (Kenya/Uganda),”
Citigroup also revised its target price up to 433p from 406p on the shares.
Tullow (TLW.L) is up 6.5% this morning trading around 362p (+22.5p)
Shares in Oil firm Tullow (TLW.L) were up over 6% this morning after Citigroup raised its rating on the stock to BUY from NEUTRAL citing the companies “quality and defensive” portfolio as being undervalued by the markets.
Citigroups current estimate for the Net Asset Value of Tullow (TLW.L) is around 354p which the shares currently trade below. This takes into account a long term oil price of around $75 barrel and 10% discount.
Commenting Citigroup said “Our core NAV includes no value for exploration/appraisal upside in Tullow’s portfolio and risks by c15% its non-sanctioned developments (Kenya/Uganda),”
Citigroup also revised its target price up to 433p from 406p on the shares.
Tullow (TLW.L) is up 6.5% this morning trading around 362p (+22.5p)
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