viewDiversified Gas & Oil PLC

Diversified Gas & Oil will see increased investor interest as a standout dividend payer

It is rated as a 'buy' with a price target of 140p per share.

Diversified Gas & Oil PLC - Diversified Gas & Oil will court increased investor interest as a standout dividend payer

Diversified Gas & Oil PLC (LON:DGOC), as a dividend payer that’s imminently headed for the FTSE 250, will be the subject of increasing investor interest.

That’s the view of stockbroker Mirabaud Securities which today repeated a ‘buy’ recommendation, with an improved price target of 140p (from 135p).

It has been a busy time for DGOC after it stepped up from AIM to London’s Main Market, closed to asset acquisitions and is now set for inclusion in the FTSE 250 index.

READ: DGOC closes second asset acquisition

“The fact so much has been achieved during a period of unprecedented volatility in financial & commodity markets is demonstrative of the resilience of the business model and stability of the underlying cash flows,” Mirabaud analyst Tim Hurst-Brown said in a note.

“In a world where dependable income affords a scarcity premium, we believe that DGOC’s dividend credentials (11.3% CY21 yield) will drive increasing interest in the stock, alongside the Main Board move and FTSE250 membership.”

On Wednesday, DGOC announced the completion of its second recent asset acquisition – picking up 6,100 wells from Carbon Energy for US$110mln.

Before that, on Tuesday, it completed a separate but similar acquisition of assets from EQT Corporation for US$112mln, bringing in 9,000 boe per day of production from 900 wells.

Quick facts: Diversified Gas & Oil PLC

Price: 93.8 GBX

Market: LSE
Market Cap: £663.37 m

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Diversified Gas & Oil PLC named herein, including the promotion by the Company of Diversified Gas & Oil PLC in any Content on the Site, the...



Diversified Gas & Oil makes big move to advance to the Main Market

Diversified Gas & Oil PLC (LON:DGOC) CEO Rusty Hutson tells Proactive the company has made the move to the premium segment of the London Stock Exchange. Hutson says the move will potentially improve liquidity and the valuation of its shares, and a larger number of institutional investors...

on 18/5/20

2 min read