Hurricane Energy PLC (LON:HUR) received more punchy estimates of its value following interim results this morning.
Cantor Fitzgerald has gone with an 87p target price (and a buy rating) while RBC Capital suggests the UK Continental Shelf-focused oil and gas developer is worth 90p.
"We anticipate the realisation of near-term production as offering an opportunity for a re-rating of the stock, and believe the Spirit deal delivers further opportunities for value to be unlocked," said Cantor.
“The path to monetising the world class asset base is clear, and we believe that investor interest can only grow as the company continues to deliver on targets."
Cantor highlighted the recent Greater Warwick farm-out deal with Spirit Energy as a significant achievement but added the emphasis in 2018 was always centred on the Lancaster EPS development.
READ: Hurricane Energy counts down to FPSO ‘sailaway’ as Lancaster stays on-track for first oil
RBC added that unusually for an E&P company, Hurricane has kept to the development schedule set out in 2016 for the Lancaster EPS project with first oil expected next year.
Floating production vessel Aoka Mizu is expected to arrive in the fourth quarter.
Hurricane ended the half with cash of US$210mln, slightly less than the broker expected due to higher capex than forecast.
Shares rose 3% to 55.2p valuing Hurricane at £1.05bn.