BMO Capital Keeps a Sell Rating on Bellatrix Exploration

By Jason Carr

Bellatrix Exploration (TSX: BXE), the Materials sector company was revisited on March 12, and remains overvalued for at least one analyst on the street. Analyst Joe Levesque from BMO Capital rated Bellatrix Exploration (TSX: BXE) a Sell on on March 12, setting a C$1.60 price target.

According to TipRanks.com, Levesque is a 3-star analyst with an average return of 3.2% and a 50.0% success rate. Levesque covers the Basic Materials sector, focusing on stocks such as Painted Pony Petroleum Ltd, Athabasca Oil Corporation, and Advantage Oil & Gas Ltd.

Currently, the analyst consensus on Bellatrix Exploration is Moderate Sell and the average price target is C$1.60, representing an 11.9% upside.

In a report issued on March 1, AltaCorp Captial also downgraded the stock to Sell with a C$1.45 price target.

Based on Bellatrix Exploration’s latest earnings report for the quarter ending September 30, the company posted quarterly revenue of C$44.27 million and GAAP net loss of C$22.12 million. In comparison, last year the company earned revenue of C$60.17 million and had a net profit of C$23.09 million.

Bellatrix Exploration Ltd. engages in the exploration for, and the acquisition, development and production of oil and natural gas reserves in the provinces of Alberta, British Columbia and Saskatchewan. The company was founded on November 1, 2009 and is headquartered in Calgary, Canada.

The company’s shares closed on Wednesday at C$1.43, close to its 52-week low of C$1.24.