-- CIBC Capital Markets maintained its outperform rating on the shares of Tamarack Valley Energy (TVE.TO) while raising its price target to C$14.25 from C$12.25 after the company released first-quarter results on Wednesday.
The company indicated its plan to review its second-half capital program by midyear, which could support additional volume growth from its assets, CIBC said.
"We believe any increases, however, would likely be modest in order to balance free cash flow optimization from the business," CIBC said.
"We also expect Tamarack will use the buoyancy in oil pricing to accelerate further debt repayment through 2026, which should be favorable for the shares," it added.
Given its strong first-quarter performance and expected development pace through 2026, CIBC's production estimate moved to the high end of Tamarack's 2026 guidance.
As a result, CIBC's 2026 cash flow estimate rose to $2.04 per share from $1.91 per share.
Price: $11.91, Change: $-0.17, Percent Change: -1.41%