TD Cowen analyst Jason Gabelman has maintained their neutral stance on EQNR stock, giving a Hold rating on June 27.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
- Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Jason Gabelman has given his Hold rating due to a combination of factors affecting Equinor ASA. The company’s earnings per share for the second quarter of 2025 have been slightly reduced from $0.65 to $0.61, primarily due to a $150 million abandonment charge in the US and a higher tax rate, although this is somewhat offset by improved Norway liquids realization. Additionally, there is a potential risk of impairment on part of Equinor’s US offshore wind assets, specifically the South Brooklyn Marine Terminal and Empire Wind 2, which could impact the company’s valuation.
Despite these challenges, there are positive aspects such as the Castberg ramp-up, which should support near-term production growth. However, investor concerns remain regarding the impact of lower global gas prices on Equinor’s medium-term earnings. The company’s share buyback is also expected to decrease from $5 billion in 2025 to $2 billion in 2026, with net debt to capital ending 2026 at the low end of the 15-30% range. These factors, along with an adjusted price target of $21 based on higher near-term earnings estimates, have led to the Hold rating.
According to TipRanks, Gabelman is a 4-star analyst with an average return of 8.6% and a 58.73% success rate. Gabelman covers the Energy sector, focusing on stocks such as BP, Calumet Specialty Products, and Exxon Mobil.
In another report released on June 27, Morgan Stanley also maintained a Hold rating on the stock with a $24.80 price target.