Total Initated ‘Buy’ Following ~6% Return In 2016

ABN Amro firing off a new note on Total SA ($TOT) this morning. The outlet is rating Total at Buy saying the oil & gas Co. has proved to be resilient (though they don’t say in what manner) and also more cost efficient than most of the peers.

Looking out from my balcony I can see a ship Total leases to transport Bitumen and that little punk has been anchored for over two weeks. Maybe I don’t know what cost efficiency is but I digress.

Amro’s analyst says “We expect it to further build on its low cost price production pipeline (recently visible in Brazil and Iran) and indeed to be able to deliver a cash dividend of 5% for the foreseeable future.” The analyst also expects Cash Flows from Ops to recover in 2017 (pretty much the default comments as we exit and try to forget 2016) to $23B from $17B.

Shares of Total have gained just about 6.3% in 2016 while the S&P 500 has returned just about 7.3%.

(Source: Zacks)

via http://ift.tt/2gTkQ1G CalibratedConfidence

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