Equinor ASA (EQNR – Research Report), the Energy sector company, was revisited by a Wall Street analyst today. Analyst Jason Gabelman from TD Cowen maintained a Hold rating on the stock and has a $22.00 price target.
Jason Gabelman has given his Hold rating due to a combination of factors including Equinor ASA’s recent performance and market conditions. The company’s first quarter 2025 earnings per share (EPS) estimate was slightly reduced from $0.88 to $0.85, aligning with market consensus, primarily due to lower trading results and a slightly higher tax rate in Norway. Despite these factors, Equinor has managed to perform well compared to its peers, which can be attributed to global gas prices remaining stronger than anticipated and the postponement of expected gas oversupply.
Furthermore, Equinor’s future prospects include the startup of the Castberg field and the Empire Wind project, which could provide support in the near term. However, the company’s buyback program is expected to decrease significantly from $5 billion in 2025 to $1.6 billion in 2026. The market is also anticipating weaker global gas prices after the winter of 2026, which could impact Equinor’s performance. These elements contribute to a cautious outlook, justifying the Hold rating as investors may prefer to adopt a wait-and-see approach.