Company News

BUZZ-Husky Energy: Rises on higher five-year cash flow forecast

** Shares of Canadian oil and gas producer Husky Energy up 1.5% at C$12.8 after co cuts long-term spending to boost cash flow

** Husky nearly doubled its free cash flow target over five years as it cut its planned capital spending

** Total FCF before dividends is expected to reach C$8.7 bln between 2019 and 2023, vs previous est. of C$4.8 bln between 2018 and 2022

** Co expects to generate C$800 mln in FCF this year, not counting the expected sale of some assets - CEO Rob Peabody said at the investor day

** Separately, Credit Suisse analyst says, given the higher FCF forecast, it expects dividend hikes in the future, which would be viewed positively by investors

** 3 of 20 brokerages rate the stock “buy” or higher, 12 “hold” and 5 “sell” or lower; their median PT is C$16.25

** Despite Tuesday’s early gains, stock down 9.3% this year (Reporting By Arundhati Sarkar in Bengaluru)