Analyst Roger Read of Wells Fargo maintained a Hold rating on Expand Energy, reducing the price target to $120.00.
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.
Roger Read has given his Hold rating due to a combination of factors including the anticipation of robust operational execution with production volumes expected to be in line for Q2’25. However, this is partially offset by a forecasted miss in free cash flow due to softer pricing. The focus remains on the natural gas macro outlook, cash return framework, and production and capital plans for the second half of 2025 and fiscal year 2026.
Additionally, while production volumes are slightly above the midpoint of guidance, the company is expected to maintain a relatively flat production cadence for the remainder of 2025. The capital expenditure is projected to increase as the company draws down its drilled but uncompleted inventory. Despite these challenges, the company expects to level-load capital through the rest of the year, with activity picking up in the Haynesville basin, which could lead to growth in 2026. Shareholder returns are also expected to be significant, with a portion of free cash flow being returned through dividends and share buybacks.
In another report released on July 11, Siebert Williams Shank & Co also maintained a Hold rating on the stock with a $142.00 price target.