Permian Resources price target lowered to $20 from $21 at Piper Sandler

Piper Sandler analyst Mark Lear lowered the firm’s price target on Permian Resources to $20 from $21 and keeps an Overweight rating on the shares ahead of quarterly results. The crude macro has been a bit of a roller coaster while the equity market seems to be getting more defensive, or at least apprehensive that Middle East conflict results in material supply impacts. The firm thinks SMIDs look relatively more attractive on valuation, and generally sees better relative return opportunities in oil/liquids-weighted stocks. Primary equity themes are centered on continued operating efficiencies, messaging on FY25 spending and capital return plans, Piper adds.