Tourmaline Oil (TSE:TOU) Shares Down 5.5% After Analyst Downgrade

Tourmaline Oil Corp. (TSE:TOU)’s share price dropped 5.5% during trading on Thursday after BMO Capital Markets downgraded the stock from an outperform rating to a market perform rating. BMO Capital Markets now has a C$70.00 price target on the stock, up from their previous price target of C$67.00. Tourmaline Oil traded as low as C$62.52 and last traded at C$63.15. Approximately 662,158 shares changed hands during trading, a decline of 76% from the average daily volume of 2,740,842 shares. The stock had previously closed at C$66.85.

Several other equities analysts have also recently commented on the stock. ATB Cormark Capital Markets lowered their target price on shares of Tourmaline Oil from C$74.00 to C$73.00 and set an “outperform” rating on the stock in a research note on Friday, March 6th. Scotiabank upgraded shares of Tourmaline Oil to a “strong-buy” rating in a research report on Wednesday, April 1st. Canaccord Genuity Group lowered shares of Tourmaline Oil from a “buy” rating to a “hold” rating and set a C$70.00 price objective for the company. in a research report on Thursday. Royal Bank Of Canada reduced their price objective on shares of Tourmaline Oil from C$76.00 to C$72.00 and set an “outperform” rating for the company in a research report on Friday, March 6th. Finally, Canadian Imperial Bank of Commerce reduced their price objective on shares of Tourmaline Oil from C$71.00 to C$66.00 in a research report on Tuesday, January 13th. Three investment analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of C$71.00.

Insider Activity

In other Tourmaline Oil news, insider Mike Rose acquired 5,000 shares of Tourmaline Oil stock in a transaction dated Friday, April 24th. The stock was bought at an average price of C$59.45 per share, for a total transaction of C$297,250.00. Following the transaction, the insider owned 1,500,000 shares in the company, valued at approximately C$89,175,000. This trade represents a 0.33% increase in their position. Also, insider James William Alexander Heard acquired 1,000 shares of Tourmaline Oil stock in a transaction dated Friday, April 17th. The shares were acquired at an average price of C$59.08 per share, with a total value of C$59,080.00. Following the transaction, the insider owned 66,476 shares in the company, valued at approximately C$3,927,402.08. This represents a 1.53% increase in their position. In the last 90 days, insiders have bought 8,500 shares of company stock valued at $527,580. Insiders own 5.13% of the company’s stock.

Tourmaline Oil Stock Performance

The company has a debt-to-equity ratio of 12.25, a current ratio of 0.83 and a quick ratio of 0.47. The company has a market capitalization of C$25.18 billion, a price-to-earnings ratio of 95.38, a PEG ratio of 1.72 and a beta of -0.12. The firm’s fifty day simple moving average is C$64.29 and its 200 day simple moving average is C$62.54.

Tourmaline Oil (TSE:TOU) last posted its quarterly earnings results on Wednesday, May 6th. The company reported C$1.69 EPS for the quarter. The business had revenue of C$1.78 billion during the quarter. Tourmaline Oil had a net margin of 5.03% and a return on equity of 1.65%. On average, sell-side analysts forecast that Tourmaline Oil Corp. will post 5.6809091 EPS for the current year.

Tourmaline Oil Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Tuesday, March 31st were issued a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a dividend yield of 3.1%. The ex-dividend date was Monday, March 16th. Tourmaline Oil’s dividend payout ratio (DPR) is currently 294.12%.

About Tourmaline Oil

Tourmaline is Canada’s largest and most active natural gas producer dedicated to producing the lowest-development-cost natural gas in North America. We are an investment grade exploration and production company providing strong and predictable operating and financial performance through the development of our three core areas in the Western Canadian Sedimentary Basin. With our existing large reserve base, decades-long drilling inventory, relentless focus on execution, cost management, safety and environmental performance improvement, we are excited to provide shareholders an excellent return on capital and an attractive source of income through our base dividend and surplus free cash flow distribution strategies.