Piper Sandler Boosts Chevron Price Target to Street-High $243
Piper Sandler has lifted its price target for Chevron to a Street-high $243 from $207, driven by stronger crude and refining margins. The firm's analyst, John Royall, kept his overweight rating on the stock.
The price increase was part of a broader round of estimate increases across Piper Sandler's integrated oil and refiner coverage. Royall raised his commodity assumptions to a revised deck from his energy strategist, including raising his 3Q forecast to $88/bbl from $80/bbl. This reflects Brent now seen at $90 a barrel in the fourth quarter.
Royall also increased refining crack spread forecasts, lifting his third- and fourth-quarter 321 crack estimates by about $2.00 to $2.50 a barrel. He maintained that supply issues on the diesel side will last well into next year.