Jefferies analyst Sam Burwell has maintained their neutral stance on MEGEF stock, giving a Hold rating on July 22.
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Sam Burwell’s rating is based on several factors that highlight both the challenges and strengths of MEG Energy. The company’s second-quarter performance was largely in line with expectations, despite facing significant operational disruptions. These included a major turnaround at Christina Lake and production shut-ins due to wildfires, which collectively impacted production levels. However, the subsequent recovery in July demonstrated MEG Energy’s strong operational capabilities.
Additionally, while there are no changes to the fiscal year 2025 guidance, the market’s focus remains on strategic considerations such as the SCR bid and the potential CVE bid. These elements contribute to a cautious outlook, justifying the Hold rating as investors weigh the company’s operational resilience against broader strategic uncertainties.
In another report released on July 22, Desjardins also maintained a Hold rating on the stock with a C$29.00 price target.