This piece was originally published on September 21th, 2023.
After oil prices rose to their highest level this year, the sell-side decided to raise price targets. Bank of America thinks crude prices could go above $100 this year. Brent crude is already up from the low $70s to almost $94 today. JP Morgan is “predicting” oil prices between $80 – $100. See the chart below – this has already happened and there are approximately 3 months left in the year. Goldman Sachs raised their oil price forecast to $100 a barrel. Again, they’re raising price targets AFTER the price rose.
Graph from Markets Insider.
DKI has been vocal about the failings of sell-side “research”. If you’re changing your price target after the price has moved, you’re not a research firm. You’re a newspaper. For more on the topic, please see: The Reasons Sell-Side Research is Hopelessly Behind.
IR@DeepKnowledgeInvesting.com if you have any questions.
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