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Fly News Breaks for April 29, 2019
OXY, CVX, APC, NBL
Apr 29, 2019 | 07:23 EDT
JPMorgan analyst Arun Jayaram upgraded Noble Energy (NBL) to Overweight from Neutral with a $32 price target while downgrading Anadarko Petroleum (APC) to Neutral from Overweight with a $75 price target. Noble is well positioned to be the new "King of the North," Jayaram tells investors in a Game of Thrones-themed research note. While Noble shares have been strong on a year-to-date basis, the stock has materially underperformed the peer group over a one-year, three-year, and five-year basis, says the analyst. He expects "significant improvement" in corporate break-evens between 2019 and 2021 coincident with the start-up of the Leviathan project. Further, Jayaram sees better performance from the company's U.S. onshore segment. On Anadarko, the analyst believes the stock is now baking in an acquisition premium associated with the Chevron (CVX) and Occidental Petroleum (OXY) bids.