Analyst Randy Ollenberger of BMO Capital maintained a Buy rating on Tourmaline Oil (TOU – Research Report), with a price target of C$75.00.
Randy Ollenberger has given his Buy rating due to a combination of factors that highlight Tourmaline Oil’s strategic positioning and financial health. Despite a slight miss in Q4/24 cash flow results, the company demonstrated resilience by increasing its base dividend by 43%, reflecting confidence in future profitability improvements. Tourmaline’s marketing strategy allowed it to achieve a realized natural gas price significantly higher than the AECO benchmark, positioning it well for future market conditions.
Furthermore, the company’s strong balance sheet and low-cost structure contribute to its premium valuation. Tourmaline’s ability to navigate challenging natural gas prices through extensive market diversification supports its continued shareholder returns and organic growth. The increase in reserves and the company’s exposure to improving natural gas prices in 2026 further bolster its prospects, making it a compelling investment opportunity.
Ollenberger covers the Energy sector, focusing on stocks such as ARC Resources, Birchcliff Energy, and Spartan Delta. According to TipRanks, Ollenberger has an average return of 10.6% and a 53.45% success rate on recommended stocks.
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