Cautious OutlookTTE outlook screened cautious, with a reduction in capex and increase in cost cuts (that some investors tend to discount) while keeping overall FCF the same; this suggests less contribution from underlying CFO growth.
Oil Price OutlookTTE is relatively bearish on oil through YE26, after which it is more constructive.
Valuation ConcernsTTE is slightly more expensive than its large Euro peers on FCF yield, though cheaper than peers on distribution yield after increasing our 2026 buyback $1B to $5B to account for lower capex.