|Day's Range||8.580 - 8.660|
|52 Week Range||8.450 - 10.880|
|PE Ratio (TTM)||775.74|
|Dividend & Yield||0.06 (5.37%)|
|1y Target Est||N/A|
DBS has done a deep dive into China's big three oil stocks and decided that CNOOC (883.HK) (CEO) is the pick of the trio. The broker cut its 2017 Brent oil price forecast by $5 a barrel to between $50 and $55 after adjusting for higher than expected U.S. shale production. Lower oil price forecasts have been reflected in lower target prices for the two of the three Chinese oil stocks.
China's oil sector has been upgraded to positive from neutral by Maybank Kim Eng despite the pummeling being handed out to oil prices. The brokerage downgraded the sector in January but believes the sector has underperformed enough to make it attractive: The sector has underperformed the MSCI China index by 10-40% since our downgrade in Jan-17. Following the pullback, we believe China’s oil & gas sector now offers favourable risk-reward for both short and long-term investors.
Forecasting commodities prices is no walk in the park, but Yuet Wei Wan certainly isn’t short of opinions on where coal or oil might be headed. The founder and CIO of Wei Capital is a veteran investor in cyclical stocks and emerging markets. Wan began her investing career covering mining and cyclical industrials at Oaktree Capital in New York and now uses a long-short equity strategy biased towards cyclical stocks at Wei Capital.