TD Securities raises its price target on Precision Drilling Corp. (PD.TO) to $77 from $71 on Thursday.
Analyst Aaron MacNeil maintained a Hold rating on shares of the Canadian drilling rig contractor following its Q2 results.
"PD is employing a growth-oriented strategy that aims to capitalize on greenshoots in US gas basins at a time of heightened broader macro uncertainty," MacNeil said in a note to clients.
Our increased $77 price target reflects higher margins and market share assumptions in our DCF, partially offset by higher near-term growth capital," the analyst said.
"Commodity price strength/weakness will determine the success of this strategy in our view."
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