Analysts’ recommendations for Hess Corporation
In the weeks leading up to Hess Corporation’s (HES) earnings release for the fourth quarter of 2015, Wall Street analysts provided target prices for the next 12 months.
Consensus rating for Hess
Approximately 51.7% of analysts rate Hess a “buy” and 48.3% rate it a “hold.” The average broker target price of $63.2 for HES implies a return around 73% in the next 12 months. The company’s peers Apache Corporation (APA) and Anadarko Petroleum (APC) have average broker target prices of $49.8 and $68.6, respectively. These figures imply returns of ~53% and ~138%, respectively, in the next 12 months.
Hess is a component of the Energy Select Sector SPDR ETF (XLE). The XLE ETF invests ~5.6% of its portfolio in Hess.
Analysts’ target prices for Hess
In terms of individual recommendations, Evercore ISI and Raymond James gave Hess the most optimistic target prices of $70 and $75, respectively. These two target prices imply returns of around 91% and 105%, respectively, in the next 12 months.
UBS (OUBS) and Societe General also gave optimistic price targets of $54 and $55, respectively, implying respective returns of ~48% and 50% in the next 12 months.
The lowest targets were given by Barclays (BCS) and Morgan Stanley (MS). The two gave HES target prices of $49 and $40, respectively. These figures imply returns of 34% and ~10%, respectively, over the next year.
You can check “Outlook for Hess: Will Crucial Projects, Cost-Cuts Be Enough?” for a detailed overview of the company.