CIBC Lifts 2012 EPS Estimates On Paramount Resources
Friday, December 09, 2021 2:37 PM

CIBC World Markets Inc. raised its 2012 estimates on Paramount Resources Ltd. (TSX: POU.TO) following the Canadian energy company’s announcement to sell its interest in Trilogy Energy Corp. (TSX: TET.TO).


"Paramount offers unmatched development optionality in a high-growth entity located in the prolific and liquids-rich Deep Basin of Western Alberta," CIBC said in a note.


Paramount has entered into a secondary offering to sell-down its Trilogy interest. The company will sell 5 million shares at $37.90 per share for gross proceeds of $189.5 million.


The reduction in interest also increases our 2012E CFPS by 6 percent, the brokerage said.


CIBC, which has a price target of $44.00 on the stock, lifted 2012 EPS estimates to $1.89 from $1.79.


On Friday, POU.TO is up 0.98 percent at $40.13 on the Toronto Stock Exchange. The stock has been trading in the 52-week range between $26.43 and $41.50. TET.TO is down 5.27 percent to $36.87.