Canada's Saturn Oil & Gas posts jump in Q3 petroleum and natural gas sales

Overview

• Canada oil producer's Q3 production hit record, beating company guidance

• Q3 petroleum and natural gas sales of $349.7 mln vs $235.3 mln yr ago

• Company posted record adjusted funds flow for Q3

Outlook

• Company expects Q4/26 capital spending of $155 mln to $165 mln

• Company expects Q4/26 production to average 46,000 to 47,000 boe/d

• Saturn targets 2026 exit production of 54,000 to 56,000 boe/d

Result Drivers

• CAPITAL SPENDING - Record capital expenditures enabled increased drilling activity and production growth

• ACQUISITION INTEGRATION - Early integration of SE Saskatchewan acquisitions delivered cost savings and operational synergies

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the oil & gas exploration and production peer group is "buy"

• Wall Street's median 12-month price target for Saturn Oil & Gas Inc is C$11.50, about 34.8% above its November 3 closing price of C$8.53

• The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 5 three months ago

Reuters Recommended Reads

• Nov 3 - Canada's Suncor Q3 adjusted operating earnings jump on higher upstream prices

• Nov 3 - Suncor Energy tops profit estimates on higher oil prices, margins

• Nov 3 - Ovintiv Q3 profit rises on higher energy prices, lower costs

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)