Woodside has reduced expenditure by -US$2.4bn. Credit Suisse notes the balance sheet is robust and there is little risk to debt covenants under current conditions.
The CEO has confirmed the company will consider inorganic growth opportunities that present in the current market.
Credit Suisse believes Woodside is well-placed to acquire a suite of tier-1 assets below net values. Outperform rating maintained. Target is raised to $28.89 from $27.86.
Sector: Energy.
Target price is $28.89.Current Price is $16.84. Difference: $12.05 – (brackets indicate current price is over target). If WPL meets the Credit Suisse target it will return approximately 42% (excluding dividends, fees and charges – negative figures indicate an expected loss).
