Barclays Maintains an 'Equalweight' on Teekay Corp. (TK); Estimates Lower on Tanker Rate Pressure
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Price: $13.24 +0.46%
Rating Summary:
3 Buy, 8 Hold, 1 Sell
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Today's Overall Ratings:
Up: 8 | Down: 6 | New: 26
Rating Summary:
3 Buy, 8 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 6 | New: 26
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Barclays maintains an 'Equalweight' on Teekay Corp. (NYSE: TK) price target lowered from $29 to $27.
Barclays analyst said, "TK's diversified exposure across offshore, LNG and traditional tanker markets provides a buffer to continued challenges in the tanker segment. Oversupply of tanker capacity is weighing on market rates, but recent acquisitions by TK should provide some offset looking ahead. TK's exposure to fixed rate businesses through its daughter companies provide a less volatile earnings outlook compared to other pure-play tanker entities. Recent acquisitions in the offshore vertical should also provide some offset to continued tanker rate weakness looking ahead. TK equity investors should benefit from relatively small amounts of debt, solid liquidity levels and daughter company dividends within an otherwise difficult market environment."
"Tweaking estimates for soft tanker rates - We are slightly reducing our TK outlook based on lower expected tanker rates. 4Q11 goes to (21)c from 8c; 2012 to 35c from 55c."
For an analyst ratings summary and ratings history on Teekay Corp. click here. For more ratings news on Teekay Corp. click here.
Shares of Teekay Corp. closed at $28.07 yesterday.
Barclays analyst said, "TK's diversified exposure across offshore, LNG and traditional tanker markets provides a buffer to continued challenges in the tanker segment. Oversupply of tanker capacity is weighing on market rates, but recent acquisitions by TK should provide some offset looking ahead. TK's exposure to fixed rate businesses through its daughter companies provide a less volatile earnings outlook compared to other pure-play tanker entities. Recent acquisitions in the offshore vertical should also provide some offset to continued tanker rate weakness looking ahead. TK equity investors should benefit from relatively small amounts of debt, solid liquidity levels and daughter company dividends within an otherwise difficult market environment."
"Tweaking estimates for soft tanker rates - We are slightly reducing our TK outlook based on lower expected tanker rates. 4Q11 goes to (21)c from 8c; 2012 to 35c from 55c."
For an analyst ratings summary and ratings history on Teekay Corp. click here. For more ratings news on Teekay Corp. click here.
Shares of Teekay Corp. closed at $28.07 yesterday.
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