Jefferies Reiterates Buy on Noble Energy (NBL) After Meeting with Management

Jefferies reiterated a Buy rating and $38.00 price target on Noble Energy (NYSE: NBL) after hosting meetings with management. NBL noted that it was comfortable with its previously guided capital plan of ~$1.5 B, which is a slight outspend of internal cash flow at the strip (~$180 MM) according to Jeffferies' model. However the spend is covered when including cash inflows from Cyprus and Israel sales announced late in 2015.

Analyst Jonathan Wolff commented, "We hosted Midwest meetings for management of Noble Energy (Buy, PT: $38). We came away with an optimistic view of NBL’s outlook given its strong CF profile from ‘fixed-margin’ offshore assets, its visible low-cost growth and the significant ‘trapped’ value we see with its Israel offshore nat gas asset. Indeed, we gained confidence in a near-term path towards the Israel govt framework needed to sanction Leviathan and for a partial monetization of Tamar interest."

For an analyst ratings summary and ratings history on Noble Energy click here. For more ratings news on Noble Energy click here.

Shares of Noble Energy closed at $31.26 yesterday.

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