- RBC Capital analyst Luke Davis raised the price target of Topaz Energy Corp (TSX:TPZ) (OTC:TPZEF) to C$28 from C$27.50 while maintaining the Outperform rating on the shares.
- The analyst states that Topaz posted solid Q1/22 results underscored by meaningful free cash generation alongside increased guidance following the Keystone Royalty acquisition.
- Davis mentions that the management remains constructive on potential acquisitions, which could provide incremental upside to updated estimates.
- The analyst's favorable view of the stock is supported by the company's exposure to growing resource plays, the infrastructure portfolio's little downside risk, and the high chance of additional deal flow.
- Price Action: TPZ shares are trading higher by 1.34% at C$23.49 on TSX, and TPZEF is higher by 1.91% at $18.25 on the last check Wednesday.
