Baytex Energy, the Energy sector company, was revisited by a Wall Street analyst yesterday. Analyst Jeremy Mccrea from BMO Capital maintained a Buy rating on the stock and has a C$6.00 price target.
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Jeremy Mccrea has given his Buy rating due to a combination of factors that highlight Baytex Energy’s improving fundamentals and upside potential. He points to the company’s 2026 plan that keeps capital spending steady while delivering production modestly ahead of prior expectations, supported by a refocused, primarily Canadian asset base. The balance between light and heavy oil investments, together with a flexible budget structure, is viewed as enabling Baytex to respond effectively to changes in commodity prices and maintain disciplined growth.
Mccrea also emphasizes the multi‑year growth profile, particularly the ramp-up of the Duvernay, where Baytex plans to increase drilling activity, drive strong production growth, and significantly expand operating income by 2028. The heavy oil assets, along with high-quality Clearwater wells, are seen as providing stable cash flow and meaningful optionality for exploration-led upside. In addition, the intention to return a substantial portion of asset-sale proceeds to shareholders through buybacks and dividends supports the total-return proposition, while leverage reduction strengthens the balance sheet—together underpinning his positive view on the stock.
In another report released yesterday, TD Cowen also maintained a Buy rating on the stock with a C$5.00 price target.
Based on the recent corporate insider activity of 12 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of BTE in relation to earlier this year.