Ovintiv (OVV) Price Target Raised by $7. Here is Why

Ovintiv Inc. (NYSE:OVV) is included among the 14 Best Oil and Gas Stocks to Buy According to Hedge Funds.

Ovintiv (OVV) Price Target Raised by $7. Here is Why

Ovintiv Inc. (NYSE:OVV) is one of the largest producers of oil and natural gas in North America, with a focused portfolio in the US and Canada.

On May 26, Barclays analyst Betty Jiang raised the firm’s price target on Ovintiv Inc. (NYSE:OVV) from $68 to $75, while maintaining an ‘Overweight’ rating on the shares. The target boost reflects an upside of almost 34% from the current price level.

Barclays believes that the depleting inventories, reduced spare capacity within OPEC, and a “muted” US supply response to the Middle East disruptions are contributing to a tighter oil macro environment that is not yet fully reflected in energy stocks’ valuations. According to the analyst firm, this could lead to a re-rating of the “oily” exploration and production operators once the conflict is over.

Barclays also lowered its gas price outlook due to oversupply issues in the near-term and updated its ratings and price targets in the integrated oil and E&P group.

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