Key Highlights:
- Elliott Investment Management seeks to reshape Phillips 66's board, gaining support from prominent investor Gregory Goff.
- Wall Street analysts predict significant potential upside for Phillips 66 shares.
- GuruFocus estimates also indicate the stock may be undervalued with room for growth.
Elliott Investment's Strategic Move
Elliott Investment Management is spearheading a campaign to replace specific board members of Phillips 66 (PSX), and it has garnered considerable support from influential investor Gregory Goff. Goff, who has a notable $10 million stake in PSX and experience as a former ConocoPhillips executive, is critical of Phillips 66's current emphasis on midstream assets, citing these as not effectively delivering value. The critical proxy vote is scheduled for May 21, making it a pivotal moment for the company.
Wall Street Analysts' Outlook
According to insights from 16 analysts, Phillips 66 is expected to reach an average target price of $138.71 over the next year. The projected high is $162.00, with a low forecast of $110.00. From its current trading price of $92.55, this suggests a potential upside of 49.88%. For more granular details, investors can explore the Phillips 66 (PSX, Financial) Forecast page.
Brokerage Recommendations
With inputs from 20 brokerage firms, Phillips 66 holds an average brokerage recommendation rating of 2.2, classifying it as "Outperform." On the rating scale, 1 indicates a Strong Buy, and 5 marks a Sell recommendation, positioning Phillips 66 favorably in the eyes of analysts.
GF Value Insights and Market Potential
According to the GF Value metric by GuruFocus, Phillips 66's estimated value for the next year stands at $110.44. This estimation reflects a potential upside of 19.33% from its current market price of $92.55. The GF Value is derived from historical trading multiples, past business growth, and future performance projections. Investors seeking more comprehensive data can visit the Phillips 66 (PSX, Financial) Summary page for further analysis.
