EnCana "outperform," target price raised - update

05/14/08 - RBC Capital Markets

NEW YORK, May 14 (newratings.com) - Analysts at RBC Capital Markets maintain their "outperform" rating on EnCana Corp (ECA). The target price has been raised from C$94 to C$103.

In a research note published this morning, the analysts mention that the proposed split of the company into two separate entities, GasCo and OilCo, is expected to yield several benefits. These benefits include better valuation for each of the base businesses and improved coherence of individual capital structures, competition for capital and anticipated returns, the analysts add.