BofA Global Research expects Adnoc Logistics & Services (ADX:ADNOCLS) to deliver a robust earnings performance in the third quarter of 2026, supported by "exceptionally strong" tanker rates for vessels passing through the Strait of Hormuz.
"We continue to view management's revised guidance following the 2Q26 results as conservative and forecast 102% EBITDA growth and 185% net income growth in 2026E, well ahead of guidance for mid-60% EBITDA growth and high-110% net income growth. Our estimates are based on average shipping rates achieved so far in 3Q26, alongside a normalization of Integrated Logistics operations by 4Q26," analysts said in a MENA Oil and Gas & Utilities report published Wednesday. "While we assume tanker rates normalize from late 4Q26 and return to historical levels in 2027, any prolonged geopolitical disruption would provide further upside to earnings."
The research firm also views Adnoc Logistics as likely to upgrade its medium-term guidance, bolstered by its fleet expansion efforts and growing exposure to contracted liquefied natural gas and gas shipping.
The buy rating on the stock was reiterated, with a price objective of 8.6 Emirati dirhams. BofA noted that the company is among its top picks in the sector heading into the fourth quarter.