Phillips 66 price target raised to $154 from $144 at Piper Sandler

Piper Sandler raised the firm’s price target on Phillips 66 (PSX) to $154 from $144 and keeps a Neutral rating on the shares. Despite steadily recurring calls over the course of 2025 for the imminent decline in refining margins or to fade refining stocks, refining markets have continued to shrug off concerns, with margins defying expectations, the firm says. While there is ongoing debate at the margin on both supply and demand, the clear takeaway is a global products market that remains relatively tight. And while seasonality and/or valuation/reversion may drive near-term volatility, Piper continues to see two overarching realities that are likely to serve as tailwinds well into 2026, namely distillate tightness entering winter implies margin risk biased higher; and 2026 Supply/Demand outlook suggesting 2026 will be tighter than 2025.