Enerplus – outperform

Enerplus Corp., an oil exploration and production company has received a “Perfect 10” rating over the past two days. The company has operations in the upper Appalachian Marcellus shale, Williston basin in the upper midwest states, and in multiple oil properties across Western Canada.

Regarding its 2021 finances, the company generated $410.1 million in free cash flow. Given the company’s excellent liquidity position, ERF is well-positioned to profit from the increasing commodity prices.

On a more positive note, Enerplus has consistently paid its monthly dividend. The company hiked its dividend by 37% and bought back $123.2 million in stock in 2021, strengthening investor confidence.

Analysts are upbeat about this stock, with seven Buys ratings and one Hold rating. The shares are priced at $12.36 and the average Enerplus price target of $15.54 implies around 25.73% upside from that level.