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Civitas Resources price target lowered to $37 from $42 at TD Cowen

TD Cowen lowered the firm’s price target on Civitas Resources (CIVI) to $37 from $42 and keeps a Buy rating on the shares. The firm notes the company’s Q2 print saw production -2% below the Street with low cash costs/capex offset lower pricing resulting in EBITDAX/free cash flow +2%/+36% over the Street. Civitas announced a return to buybacks, increasing authorization to $750M, also signing a $435M divestment of non-core DJ assets. It was also announced that Wouter van Kempen, Chairman of the Board, will be replacing Chris Doyle as interim CEO.

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