Analysts have raised their price target for Ithaca Energy from £1.73 to £1.84, citing a slightly lower discount rate in addition to a modest adjustment to revenue growth and profit margin forecasts.
What's in the News
- Ithaca Energy has completed the acquisition of an additional 46.25% interest in the Cygnus gas field, increasing its operated stake to 85%. The transaction adds significant gas reserves and production to its portfolio and supports UK energy security (Business Expansions).
- The company has upgraded its full-year 2025 production guidance to a range of 119,000 to 125,000 barrels of oil equivalent per day, citing strong performance from core assets (Corporate Guidance, New/Confirmed).
- Ithaca Energy announced a first interim dividend for 2025 of $167 million, equating to $0.1010 per ordinary share, to be paid in September (Dividend Increases).
- A follow-on equity offering has been completed and has raised £106 million through the issuance of nearly 50 million new ordinary shares (Follow-on Equity Offerings).
- The company continues to seek new acquisition opportunities to further consolidate its position in the UK Continental Shelf and is investing in its long-term strategy for the West of Shetland (Seeking Acquisitions/Investments).
Valuation Changes
- Consensus Analyst Price Target has increased from £1.73 to £1.84.
- The Discount Rate has decreased slightly from 7.10% to 7.07%.
- The Revenue Growth forecast has eased marginally from 3.70% to 3.64%.
- The Net Profit Margin projection remains nearly unchanged, moving from 10.05% to 10.05%.
- The Future P/E ratio has decreased from 19.36x to 16.94x.
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