Baytex Energy (BTE) Sets 2026 Budget, Targets Production Growth

Baytex Energy Corp. (NYSE:BTE) is one of the best NYSE stocks under $5 to buy. On December 22, TD Cowen’s Menno Hulshof reaffirmed a Buy rating on Baytex Energy Corp. (NYSE:BTE) with a C$5.00 price target.

Baytex Energy (BTE) Sets 2026 Budget, Targets Production Growth

On the same day, Baytex Energy Corp. approved a 2026 exploration and development budget ranging from C$550 million to C$625 million. The company said this budget is designed to adapt to oil price fluctuations with about 45% of spending front-loaded in the first half of the year; that is assuming a $60 per barrel WTI price. The company aims for average annual production of 67,000 to 69,000 barrels of oil equivalent per day in 2026, a 3% to 5% increase from 2025 levels. According to Baytex, roughly 55% of the budget will go to light oil assets and 45% to heavy oil assets.

Financially, the plan lowers the sustaining breakeven price to $52 per barrel. This will be supported by an optimized cost structure, strong liquidity, and an extended C$750 million credit facility maturing in 2030. Over a three-year outlook, assuming a $60-65 WTI price, the company expects sustainable growth through investments in exploration and infrastructure.

Separately, on December 1, the company launched a cash tender offer to buy back its 7.375% senior notes due 2032. It also outlined plans to fully redeem its 8.500% senior notes due 2030. This, it said, is part of efforts to optimize its debt structure using funds from divesting US assets.

Baytex Energy Corp. (NYSE:BTE) is a Canadian independent oil and gas company engaged in the acquisition, development, and production of crude oil and natural gas. Its operations span across Western Canada and the Eagle Ford shale in Texas. And its production mix is heavily weighted toward crude oil.

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Disclosure: None. This article is originally published at Insider Monkey.