Raymond James Lowers Encana (ECA) to Outperform

Encana (NYSE:ECA) (TSE:ECA) was downgraded by stock analysts at Raymond James from a “strong-buy” rating to an “outperform” rating in a note issued to investors on Friday, November 2nd, Marketbeat reports. They presently have a $17.00 price objective on the oil and gas company’s stock, down from their prior price objective of $18.00. Raymond James’ target price would suggest a potential upside of 92.09% from the company’s current price.

Several other equities research analysts have also recently commented on ECA. Desjardins reaffirmed a “buy” rating and set a $17.00 target price on shares of Encana in a research note on Friday, July 27th. Zacks Investment Research cut Encana from a “buy” rating to a “hold” rating in a research note on Monday, August 6th. ValuEngine raised Encana from a “hold” rating to a “buy” rating in a research note on Thursday, August 2nd. National Bank Financial raised their target price on Encana from $18.00 to $22.00 and gave the stock a “$12.96” rating in a research note on Wednesday, July 18th. Finally, TD Securities set a $17.00 target price on Encana and gave the stock a “buy” rating in a research note on Wednesday, August 1st. Two investment analysts have rated the stock with a sell rating, six have given a hold rating and fifteen have given a buy rating to the company. The stock has an average rating of “Buy” and an average target price of $15.14.

Shares of ECA stock traded up $0.14 on Friday, hitting $8.85. The company had a trading volume of 31,628,890 shares, compared to its average volume of 24,764,914. The stock has a market cap of $8.36 billion, a price-to-earnings ratio of 20.58, a PEG ratio of 0.89 and a beta of 2.15. The company has a current ratio of 0.70, a quick ratio of 0.73 and a debt-to-equity ratio of 0.57. Encana has a twelve month low of $8.43 and a twelve month high of $14.31.

Encana (NYSE:ECA) (TSE:ECA) last issued its quarterly earnings results on Thursday, November 1st. The oil and gas company reported $0.17 earnings per share for the quarter, beating the consensus estimate of $0.13 by $0.04. The company had revenue of $1.26 billion during the quarter, compared to analysts’ expectations of $1.25 billion. Encana had a positive return on equity of 9.53% and a negative net margin of 3.98%. Sell-side analysts forecast that Encana will post 0.63 earnings per share for the current year.

In other news, COO Michael Gerard Mcallister acquired 8,655 shares of Encana stock in a transaction on Monday, November 5th. The stock was purchased at an average price of $8.77 per share, with a total value of $75,904.35. Following the completion of the purchase, the chief operating officer now owns 25,677 shares of the company’s stock, valued at approximately $225,187.29. The purchase was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Sherri Anne Brillon acquired 17,250 shares of Encana stock in a transaction on Thursday, November 8th. The stock was purchased at an average cost of $8.85 per share, with a total value of $152,662.50. Following the purchase, the chief financial officer now directly owns 114,165 shares of the company’s stock, valued at approximately $1,010,360.25. The disclosure for this purchase can be found here. Insiders acquired 192,155 shares of company stock valued at $1,693,714 in the last three months. Insiders own 0.08% of the company’s stock.

Several hedge funds have recently bought and sold shares of ECA. FMR LLC lifted its holdings in shares of Encana by 70.2% in the second quarter. FMR LLC now owns 41,979,114 shares of the oil and gas company’s stock valued at $548,226,000 after purchasing an additional 17,318,112 shares in the last quarter. BlackRock Inc. lifted its holdings in shares of Encana by 24.5% in the third quarter. BlackRock Inc. now owns 27,563,490 shares of the oil and gas company’s stock valued at $361,359,000 after purchasing an additional 5,428,023 shares in the last quarter. Morgan Stanley lifted its holdings in shares of Encana by 34.2% in the second quarter. Morgan Stanley now owns 19,464,355 shares of the oil and gas company’s stock valued at $254,011,000 after purchasing an additional 4,962,470 shares in the last quarter. Connor Clark & Lunn Investment Management Ltd. lifted its holdings in shares of Encana by 37.5% in the second quarter. Connor Clark & Lunn Investment Management Ltd. now owns 14,307,169 shares of the oil and gas company’s stock valued at $186,745,000 after purchasing an additional 3,900,950 shares in the last quarter. Finally, Massachusetts Financial Services Co. MA bought a new position in shares of Encana in the second quarter valued at approximately $21,174,000. Institutional investors own 67.17% of the company’s stock.

About Encana

Encana Corporation, together with its subsidiaries, engages in the exploration, development, production, and marketing of natural gas, oil, and natural gas liquids. The company holds interests in various assets, including the Montney in northern British Columbia and northwest Alberta; Duvernay in west central Alberta; and other upstream operations comprising Wheatland in southern Alberta, Horn River in northeast British Columbia, and Deep Panuke located in offshore Nova Scotia in Canada.

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Analyst Recommendations for Encana (NYSE:ECA)

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