CIBC upgrades Birchcliff to Outperform on ‘compelling’ valuation

As previously reported, CIBC upgraded Birchcliff Energy (BIREF) to Outperformer from Neutral with a price target of C$8, up from C$7. The stock’s valuation has “become compelling” following the multiple compression over the past six months, and the macro outlook for natural gas has improved with recent storage drawdowns, the analyst tells investors in a research note. The firm also believes Birchcliff’s recent move to right-size its dividend and reduce leverage puts the company on the “front foot to execute.”