Golar LNG Sees Price Target Boost Following Strategic Acquisition
Investment firm Stifel has upgraded its price target on Golar LNG (GLNG) to $55, up from $53, while maintaining a Buy rating on the shares. This move comes on the heels of Golar’s announcement to acquire the remaining 8% stake in the Hilli from Seatrium and Black and Veatch for $90.2 million.
A Strategic Deal with Multiple Benefits
Stifel views this acquisition as a “solid deal” for Golar, citing its attractive price and simplification of the company’s balance sheet. The deal is expected to enhance cash flows and provide value to shareholders. Although relatively small in size, the acquisition is seen as a strategic move that will have a positive impact on Golar’s performance.
Simplifying the Balance Sheet and Enhancing Cash Flows
By acquiring the remaining stake in the Hilli, Golar LNG will be able to streamline its operations and improve its financial position. The deal is expected to have a positive impact on the company’s cash flows, providing a boost to its financial performance.
A Positive Outlook for Golar LNG
Stifel’s upgraded price target and Buy rating reflect the firm’s confidence in Golar LNG’s prospects. With this strategic acquisition, Golar is well-positioned to capitalize on growth opportunities and deliver value to its shareholders. As the company continues to execute on its strategy, investors may want to consider adding GLNG to their portfolios.
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