Galp Energia price target lowered to EUR 20 from EUR 21 at Bernstein

Bernstein lowered the firm’s price target on Galp Energia to EUR 20 from EUR 21 and keeps a Market Perform rating on the shares. The firm notes that oil markets face headwinds in 2025, from high OPEC+ spare capacity and the group’s intention to gain market share by returning 2.2mbd, whilst oil demand has slowed due to China. Bernstein is downgrading the European integrated sector’s aggregate dollar earnings by 12% in 2024, for a 5% lowered Brent to $82.50, by 12.5% in 2025 for a c. 8% lowered Brent to $76/bbl, and by 4% and 1.9% in 2026-2027 respectively, due to lowered downstream assumptions.