UBS Reduces Gulfport Energy Price Target on Lower Gas Outlook

UBS has adjusted its price target for Gulfport Energy, lowering it from $223 to $218 while keeping a Buy rating. The change comes amid a reduced gas price outlook, prompting UBS to trim its 2027 production forecast for the company. Gulfport Energy's shares have dropped 24% year-to-date in 2026, including an 11% decline in the third quarter, with the stock currently trading at $155.97, just 5% above its 52-week low of $149.18.

The firm attributed part of the stock's decline to falling near-term gas price expectations but noted that Gulfport Energy's execution has been consistent. UBS views the company's inventory growth favorably and sees an opportunity to reset operational planning with new leadership. The firm also highlighted upcoming in-basin demand growth as a medium-term catalyst, presenting a favorable risk-reward opportunity given the stock's discounted valuation.

Gulfport Energy's recent second-quarter 2026 earnings report showed mixed results, with adjusted earnings of $3.91 per share missing analysts' expectations of $4.08 per share. However, the company exceeded revenue forecasts, reporting $323.23 million compared to the anticipated $305.65 million. Jefferies downgraded Gulfport Energy's stock rating from Buy to Hold, citing concerns over natural gas price risks due to a potentially warm winter and increased associated gas production, adjusting its price target from $239 to $180.

Despite the downgrade, UBS maintained its Buy rating, emphasizing rising in-basin Appalachia power generation as a significant demand driver for natural gas. The developments provide insight into Gulfport Energy's current financial and market position.