- RBC Capital analyst Luke Davis raised the price target for Athabasca Oil Corp (TSX:ATH) (OTC:ATHOF) to C$3.25 from C$2.50 while maintaining the Sector Performs rating on the shares. The analyst removed the Speculative Risk qualifier.
- The analyst states that Athabasca’s positioning continues to improve, with steady operational performance setting the stage for a strategic shift in the 2023-time frame.
- Davis mentions that the company is ahead of plan on term debt repayment, with open market purchases and warrant proceeds accelerating the pace.
- He adds that given that the recent debt refinancing provided a reset, he now expects investors to shift their focus toward clarity on future development plans and capital allocation priorities.
- Price Action: ATH shares are lower by 6.52% at C$2.58 on TSX, and ATHOF is lower by 6.76% at $2.01 on the last check Wednesday.
