Piper plays down significance of Tesla Autopilot case in Florida
Investing.com - Raymond (NSE:RYMD) James downgraded Tourmaline Oil Corp . (TSX:TOU) (OTC:TRMLF) from Outperform to Market Perform on Thursday, while lowering its price target to C$74.00 from C$76.00.
The downgrade follows Tourmaline’s second-quarter results, which included an update to the company’s long-term development plan featuring a significant infrastructure build-out in Northeast British Columbia (NEBC) to align with growing demand for liquefied natural gas (LNG) from Canada’s west coast.
Raymond James noted that while some increase in capital expenditure was expected, the magnitude of the planned spending surprised analysts. This higher spending, combined with deferrals and decreased guidance for the current year, could lead to near-term weakness in the stock.
Despite the downgrade, Raymond James continues to view Tourmaline as "one of the highest quality names in the space" and "the premier player for natural gas exposure within Canada," citing its diverse portfolio in prolific basin areas and unmatched scale.
The firm indicated that while Tourmaline remains a quality investment, it currently sees "better opportunities among peers near-term," prompting the rating change to Market Perform.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.