-- RBC Capital Markets updated its model for Saudi Arabian Oil Co (SASE:2222), d/b/a Saudi Aramco, ahead of the Saudi state-run oil giant's first-quarter results in May.
"Our production estimates in the upstream move lower as we incorporate the latest market data. Our forecasts assume continued disruptions for April and May, with a return closer to normal level by 3Q. Seasonally lower costs qoq in the upstream will benefit earnings in 1Q26. Downstream earnings should feel the benefit of higher refining margins in the quarter," analysts said Tuesday, noting they are also accounting for the research firm's higher commodity price forecast.
As such, RBC boosted its adjusted group net income for the first quarter of 2026 to $32 billion from $30.2 billion, and raised its EPS forecasts for full-year 2027 and 2028.
The stock is still rated at sector perform, with an unchanged price target of 34 Saudi riyals.