another broker recco target 2bucks

BPT BEACH PETROLEUM LIMITED TARGET $2.00
Merrill Lynch rates the stock as Buy, Medium Risk - Revenues came out lower than expected. Hedging is to blame. Having said this, the company has now hedged 4.15mmboe of Basker Manta production with a floor price of US$60/bbl over the next three years. This is quite something else with the broker noting this should insulate earnings as oil prices are looking rather shaky at the moment.
Earnings forecasts lowered. Broker sees upside to current NPV of $1.65.


Target price is $2.00 Current Price is $1.18 Difference:$0.82 - (brackets indicate current price is over target). If BPT meets the Merrill Lynch target it will return approximately 69% (excluding dividends, fees and charges - negative figures indicate an expected loss).

The company''s fiscal year ends in June. Merrill Lynch forecasts a full year FY07 dividend of 1.50 cents and EPS of 12.90 cents . At the last closing share price the estimated dividend yield is 1.27%. At the last closing share price the stock''s estimated Price to Earnings Ratio (PER) is 9.15.