MEG Energy (TSE:MEG) Hits New 12-Month Low – Here’s Why

MEG Energy Corp. (TSE:MEG)’s stock price reached a new 52-week low during mid-day trading on Tuesday . The company traded as low as C$22.72 and last traded at C$22.85, with a volume of 132061 shares changing hands. The stock had previously closed at C$23.26.

Wall Street Analyst Weigh In

MEG has been the topic of several analyst reports. ATB Capital dropped their target price on MEG Energy from C$37.00 to C$35.00 in a research report on Wednesday, November 27th. National Bankshares reduced their target price on shares of MEG Energy from C$35.00 to C$31.00 in a research note on Friday, September 27th. BMO Capital Markets cut their price objective on MEG Energy from C$37.00 to C$34.00 in a report on Friday, October 4th. Scotiabank upgraded MEG Energy from a “sector perform” rating to an “outperform” rating and set a C$35.00 price target for the company in a report on Wednesday, September 25th. Finally, Royal Bank of Canada decreased their price target on shares of MEG Energy from C$34.00 to C$33.00 in a report on Wednesday, November 27th. Five analysts have rated the stock with a hold rating and five have given a buy rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of C$32.45.

MEG Energy Price Performance

The company has a 50-day moving average of C$25.50 and a 200 day moving average of C$26.68. The company has a debt-to-equity ratio of 26.35, a quick ratio of 1.17 and a current ratio of 1.54. The firm has a market cap of C$6.09 billion, a P/E ratio of 10.77, a P/E/G ratio of 0.17 and a beta of 2.89.

MEG Energy (TSE:MEG) last posted its quarterly earnings data on Tuesday, November 5th. The company reported C$0.62 earnings per share for the quarter, missing the consensus estimate of C$0.63 by C($0.01). MEG Energy had a return on equity of 12.99% and a net margin of 10.43%. The firm had revenue of C$1.27 billion for the quarter, compared to analyst estimates of C$1.33 billion. On average, sell-side analysts anticipate that MEG Energy Corp. will post 2.2734628 EPS for the current year.

MEG Energy Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, January 15th. Investors of record on Wednesday, January 15th will be issued a $0.10 dividend. This represents a $0.40 dividend on an annualized basis and a dividend yield of 1.77%. The ex-dividend date is Monday, December 16th. MEG Energy’s dividend payout ratio is currently 19.05%.

Insider Buying and Selling at MEG Energy

In other MEG Energy news, Director Kimberley Elizabeth Lynch Proctor bought 3,500 shares of MEG Energy stock in a transaction on Thursday, November 28th. The shares were purchased at an average cost of C$25.06 per share, for a total transaction of C$87,713.85. Corporate insiders own 0.33% of the company’s stock.

About MEG Energy

MEG Energy Corp., an energy company, focuses on sustainable in situ thermal oil production in its Christina Lake Project in the southern Athabasca oil region of Alberta, Canada. The company develops oil recovery projects that utilize steam-assisted gravity drainage extraction methods to improve the recovery of oil, as well as lower carbon emissions.