Deutsche Bank analysts raised the forecast value of the shares of the Russian company “Rosneft” by 12%.
Growth formula. Rosneft ramping up production and upgrade processing
It is reported that stocks can rise in price from 385 to 430 rubles roubles apiece. In addition, securities received confirmation of the recommendation “buy”.
In review, the Bank noted that the acquisition of the Rosneft state stake in Bashneft and exhibiting of the offer to repurchase minority shareholders has a positive effect on the company’s valuation.
In addition, analysts also emphasize strong financial indicators “Rosneft” in III quarter of 2016, which also had an impact on the growth of its investment attractiveness. This is due to the fact that quarterly financial statements of the Russian oil company surpassed projections.
Thus, the processing volume and the sales price was significantly higher than expected, resulting in EBITDA was 5% above the forecast of analysts of the Bank and 7% above the consensus forecast.
In this regard, on 3-4% was raised forecast EBITDA of the company, which is the main factor of increasing the target value.