EnCana upgraded to "outperform"

05/21/08 - Credit Suisse

NEW YORK, May 21 (newratings.com) - Analyst B Dutton of Credit Suisse upgrades EnCana Corp (ECA) from "neutral" to "outperform," while raising his estimates for the company. The 12-month target price has been raised from $92 to $117.

In a research note published yesterday, the analyst mentions that the oil supply scenario has deteriorated recently, with rising supply costs. The WTI oil price per barrel estimates for 2008, 2009 and 2010 have been raised from $90 to about $120, from $90 to $110 and from $90 to $115, respectively. The NYMEX natural gas price estimates for 2008, 2009 and 2010 have been raised from $8.02 to $10.50, from $8.00 to $9.50 and from $8.00 to $9.00, respectively. The EPS estimates for 2008 and 2009 have been raised from $4.81 to $6.98 and from $4.81 to $7.01, respectively.