Canaccord Genuity Maintains Buy On Gran Tierra Energy Inc. Following 4Q Earnings
In a research report issued today, Canaccord Genuity analyst Christopher Brown maintained a Buy rating on Gran Tierra Energy Inc. (NYSE:GTE) (TSE:GTE) with a C$4.50 price target, after the company reported fourth-quarter financial results and held a conference call this morning to provide a corporate update.
Brown stated, “Gran Tierra has decided to no longer proceed with any further capital investments in Peru. Under the Canadian National Instrument NI 51-101 the company is required to reclassify its Peru reserves as contingent resources. The company’s updated 1C and 2C numbers for Peru are 31 and 50 million boe. Associated with the company’s decision to no longer commit capital to Peru, it was required to recognize $265.1 million of Peruvian-related asset impairments as of December 31, 2014. The upside to the board of directors’ decision is that it makes available almost all of the company’s $332 million of cash resources to refocus into new growth areas in the coming years.”
On average, the analyst consensus for GTE on TipRanks.com is Hold.