UBS Raises Price Target for Range Resources (RRC) to $42.00 USD

UBS analyst Josh Silverstein maintains a 'Neutral' rating on Range Resources (RRC) while raising the price target from $40 to $42, a 5% increase. The decision reflects a modest adjustment in the projected value of the company's stock. Analysts forecast an average target price of $43.13, implying a 21.3% upside from the current price.

UBS analyst Josh Silverstein has maintained a 'Neutral' rating on Range Resources (RRC) while raising the price target from $40 to $42, a 5% increase. The decision reflects a modest adjustment in the projected value of the company's stock. Analysts forecast an average target price of $43.13, implying a 21.3% upside from the current price.

The adjustment comes amidst a broader market trend where energy stocks have shown resilience, particularly in the natural gas sector. The European Union's recent commitment to purchase $750 billion worth of LNG over the next three years, as part of a sweeping trade pact, has been a significant driver for these stocks [1]. The trade agreement imposes a 15% U.S. import tariff on most E.U. goods, which is seen as a softer blow than initially feared.

Range Resources, along with other natural gas producers, has seen a positive reaction to this development. Shares of Venture Global (NYSE:VG), Cheniere Energy (NYSE:LNG), and Nextdecade (NEXT) have surged in pre-market trading, with gains of 6.6%, 5.8%, and 5.7%, respectively [1]. This trend indicates that the market is optimistic about the long-term prospects of these energy companies, driven by increased demand for LNG.

The UBS analyst's decision to raise the price target for Range Resources is in line with the broader market sentiment. While the 'Neutral' rating suggests a cautious outlook, the increased price target reflects a more favorable view of the company's future performance. This adjustment aligns with the overall market sentiment, which has been buoyed by the European Union's LNG purchase commitments.

References:
[1] https://seekingalpha.com/news/4472663-lng-producers-surge-after-europe-pledges-750b-purchases-in-us-trade-deal
[2] https://www.marketbeat.com/ratings/by-issuer/ubs-group-stock-recommendations/