MEG Energy (TSE:MEG) Trading Up 16.5% – Here’s Why

MEG Energy Corp. (TSE:MEG) was up 16.5% during trading on Friday . The stock traded as high as C$28.64 and last traded at C$24.81. Approximately 3,056,636 shares were traded during mid-day trading, an increase of 23% from the average daily volume of 2,482,461 shares. The stock had previously closed at C$21.30.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on MEG shares. CIBC decreased their target price on shares of MEG Energy from C$32.00 to C$28.00 in a research note on Thursday, April 10th. Desjardins downgraded shares of MEG Energy from a “buy” rating to a “hold” rating and decreased their target price for the stock from C$29.00 to C$26.50 in a research note on Wednesday, March 19th. TD Securities decreased their target price on shares of MEG Energy from C$33.00 to C$32.00 and set a “buy” rating on the stock in a research note on Friday, February 28th. Scotiabank raised shares of MEG Energy to a “strong-buy” rating in a research report on Wednesday, March 19th. Finally, National Bankshares boosted their price objective on shares of MEG Energy from C$27.00 to C$28.00 and gave the company a “sector perform” rating in a research report on Thursday, January 30th. Four investment analysts have rated the stock with a hold rating, one has given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of C$30.35.

MEG Energy Trading Up 18.7%

The stock has a market cap of C$6.56 billion, a P/E ratio of 13.40, a PEG ratio of 0.17 and a beta of 2.89. The company has a current ratio of 1.55, a quick ratio of 1.17 and a debt-to-equity ratio of 22.80. The stock’s fifty day moving average price is C$21.85 and its 200 day moving average price is C$23.25.

MEG Energy Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, April 15th. Stockholders of record on Tuesday, April 15th were issued a dividend of $0.10 per share. This represents a $0.40 dividend on an annualized basis and a dividend yield of 1.58%. The ex-dividend date was Thursday, March 20th. MEG Energy’s dividend payout ratio (DPR) is presently 21.19%.

Insider Activity

In related news, Director Darlene Miriam Gates sold 91,584 shares of the company’s stock in a transaction dated Saturday, March 15th. The shares were sold at an average price of C$24.19, for a total value of C$2,215,416.96. Also, Senior Officer Erik Alexander Alson sold 32,728 shares of the company’s stock in a transaction dated Saturday, March 15th. The stock was sold at an average price of C$24.19, for a total transaction of C$791,690.32. Company insiders own 0.33% of the company’s stock.

About MEG Energy

MEG Energy is engaged in in situ oil sands development and production in Alberta, Canada. As of March 2021, the company reported estimated net proved and probable reserves of 2 billion barrels of oil equivalent. Net production averaged 82,000 barrels per day in 2020.