Movers and SHAKERS
Indonesia Energy Corp (INDO)
Estimates and PO raised on sharper-than-expected oil price rebound
Indonesia Energy Corp Ltd is an oil and gas exploration and production company focused on Indonesia. It holds two oil and gas assets through its subsidiaries in Indonesia: one producing block (the Kruh Block) and one exploration block (the Citarum Block). The Kruh Block is located to the northwest of Pendopo, Pali, South Sumatra. The Citarum Block is located to the south of Jakarta.
Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Oil prices have rebounded sharply from the level assumed when we launched coverage in April. Brent oil prices, which were down near $20 at the time of our initiation, have rebounded to a level in the mid forties. We had modeled a rebound of $5 per quarter, a much slower rebound than we are witnessing. We are maintaining our long-term oil price assumption of $50 but now believe pricing will reach that level several years earlier than previously modeled.
Higher oil prices mean higher earnings and cash flow. We are significantly raising our earnings and cash flow projections for the upcoming quarters to reflect higher prices. In addition, we have increased confidence that the company will meet our estimates. Importantly, higher cash flow will mean less external financing will be...
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.