Talisman: Street consensus: C$1.61, High estimate: $3.75, High roller: Frank Bracken, Prudential Securities
Mr. Bracken said three factors account for why his estimates are a
whopping 72 cents above the next highest analyst.
First, his price outlook for gas is higher than the rest of the Street.
Second, unlike other analysts, Mr. Bracken has not stripped out the
gains that Talisman will make on asset sales next year, which he
estimates at $75-million. Talisman sells assets for profit every year, he
said, so extraordinary gains become ordinary.
"This company has an incredible track record of delivering on that
activity. They buy stuff cheap and they sell it expensive," he said.
Third, Mr. Bracken has put together a separate earnings statement for
each country in which Talisman operates. He says this exercise allows
him to pick up some subtleties other analysts might not notice.
Globe & Mail, November 9 |
