Strathcona Resources (TSE:SCR) Shares Down 24.7% After Analyst Downgrade

Strathcona Resources Ltd. (TSE:SCR)’s share price dropped 24.7% on Tuesday after Scotiabank lowered their price target on the stock from C$40.00 to C$33.00. The stock traded as low as C$29.21 and last traded at C$29.47. Approximately 113,715 shares traded hands during trading, an increase of 43% from the average daily volume of 79,259 shares. The stock had previously closed at C$39.16.

Other equities analysts have also issued research reports about the stock. TD Securities boosted their price target on shares of Strathcona Resources from C$35.00 to C$36.00 and gave the company a “hold” rating in a report on Friday, November 7th. Royal Bank Of Canada boosted their target price on Strathcona Resources from C$36.00 to C$40.00 and gave the company a “sector perform” rating in a research note on Thursday, October 16th. Natl Bk Canada lowered Strathcona Resources from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, December 3rd. Jefferies Financial Group boosted their price objective on Strathcona Resources from C$34.00 to C$38.00 in a research report on Tuesday, November 11th. Finally, ATB Capital dropped their target price on shares of Strathcona Resources from C$42.00 to C$32.00 in a report on Tuesday. One analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat.com, Strathcona Resources presently has an average rating of “Hold” and a consensus price target of C$35.43.

Strathcona Resources Price Performance

The company has a quick ratio of 11.09, a current ratio of 0.53 and a debt-to-equity ratio of 56.06. The business has a fifty day moving average of C$39.54 and a 200 day moving average of C$36.37. The firm has a market cap of C$6.24 billion, a P/E ratio of 5.69, a PEG ratio of -2.02 and a beta of 2.61.

Strathcona Resources Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, December 15th. Investors of record on Monday, December 15th were issued a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a yield of 4.1%. The ex-dividend date of this dividend was Friday, December 5th. Strathcona Resources’s dividend payout ratio (DPR) is presently 21.68%.

Strathcona Resources Company Profile

Strathcona Resources Ltd. is a Canada-based oil and gas producers with operations focused on thermal oil, enhanced oil recovery and liquids-rich natural gas. The Company has three operations, including Lloydminster Heavy Oil, Cold Lake Thermal Oil and Montney. The Lloydminster Heavy Oil segment has multiple large oil-in-place reservoirs with existing and expanding enhanced oil recovery (EOR) opportunities primarily located in southwest Saskatchewan. Its Saskatchewan thermal properties rely on the same steam-assisted gravity drainage (SAGD) processes as its Cold Lake Thermal properties.