Goldman Sachs Forecasts Limited Upside For Occidental & Magnolia: What’s Next?
Goldman Sachs analyst Neil Mehta downgraded Magnolia Oil & Gas Corporation (NYSE:MGY) and Occidental Petroleum Corporation (NYSE:OXY), while reinstating coverage on Expand Energy Corporation (NASDAQ:EXE).
MGY: The analyst downgraded the company from Buy to Neutral and cut the price forecast from $27 to $26.
Mehta writes that the bearish outlook reflects the company’s outperformance relative to peers.
This performance has been driven by effective cost improvement initiatives and a focus on capital efficiencies in 2024, along with its relatively low leverage, adds the analyst.
While he still anticipates strong operational execution, he believes the stock now reflects these advantages.
The analyst estimates MGY to maintain relatively flat production costs over the next …
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