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CIBC Boosts Tamarack's Price Target to C$15.25 from C$14.25 Following Charlie Lake Sale

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CIBC Capital Markets on Thursday reiterated its outperformer rating on the shares of Tamarack Valley Energy (TVE.TO) while raising its price target to C$15.25 from $14.25 after the company agreed to sell its Charlie Lake assets for $804.0 million.

CIBC updated its model to reflect the impact of the transaction, which lowered Tamarack's estimated 2026 cash flow to $1.74 per share from $2.04 per share, primarily due to reduced production.

Tamarack's sale of its Charlie Lake asset for $804 million completes a material repositioning of the asset quality in this business, and should support the company's shares moving forward, CIBC said.

The sale also provides the company with meaningful financial flexibility and supports an immediate dividend raise of 25%, CIBC said.

"Although the transaction is dilutive on our valuation metrics, we believe the pro forma company will push for a stronger valuation as a pure-play Clearwater producer with ample financial liquidity and capital allocation flexibility," CIBC said.

Price: $12.63, Change: $-0.27, Percent Change: -2.09%

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