Shell (LON:SHEL) Earns "Buy" Rating from Jefferies Financial Group

Key Points

• Jefferies reaffirmed a “Buy” rating on Shell and set a GBX 4,500 price target, implying approximately 11.15% upside from the previous close.
• Analyst sentiment is broadly positive but mixed: six analysts rate Shell a Buy and six a Hold, producing a “Moderate Buy” consensus with an average target of GBX 3,775.
• Shell shares recently traded near GBX 4,048.50, close to their 52-week high, while strong earnings, a planned $5 billion buyback and maintained dividend support the stock; risks include a $1.9 billion writedown and potentially unsustainable refining margins.

Shell (LON:SHEL - Get Free Report)'s stock had its "buy" rating restated by equities researchers at Jefferies Financial Group in a report released on Friday, Digital Look reports. They currently have a GBX 4,500 price objective on the stock. Jefferies Financial Group's price objective would indicate a potential upside of 11.15% from the company's previous close.

Several other research analysts also recently weighed in on SHEL. Royal Bank Of Canada reiterated a "neutral" rating on shares of Shell in a research note on Thursday, September 24th. Berenberg Bank restated a "buy" rating and set a GBX 4,000 price target on shares of Shell in a research note on Monday, August 3rd. JPMorgan Chase & Co. decreased their price target on Shell from GBX 3,900 to GBX 3,600 and set an "overweight" rating for the company in a report on Friday, July 3rd. Finally, UBS Group reiterated a "neutral" rating on shares of Shell in a research report on Friday, September 25th. Six investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to MarketBeat, Shell currently has a consensus rating of "Moderate Buy" and an average target price of GBX 3,775.

Shell Stock Performance

Shares of SHEL traded up GBX 10.50 during mid-day trading on Friday, hitting GBX 4,048.50. 352,320,313 shares of the company's stock were exchanged, compared to its average volume of 11,647,129. Shell has a fifty-two week low of GBX 2,553.77 and a fifty-two week high of GBX 4,110. The firm has a market capitalization of £230.67 billion, a P/E ratio of 8.96, a P/E/G ratio of 2.50 and a beta of 0.43. The business's 50 day moving average is GBX 3,643.38 and its two-hundred day moving average is GBX 3,273.85. The company has a current ratio of 1.43, a quick ratio of 0.86 and a debt-to-equity ratio of 40.42.

Trending Headlines about Shell

Here are the key news stories impacting Shell this week:

• Positive Sentiment: Strong Q3 earnings: Shell reported its highest quarterly profit since 2022, with earnings boosted by record refining margins and higher oil prices. Reports indicated profit of approximately $10.8 billion, supporting the view that Shell is benefiting from favorable energy-market conditions. Shell profits nearly double as refining margins hit record
• Positive Sentiment: $5 billion share buyback: Shell launched a roughly three-month repurchase program intended to reduce its share count. The buyback, together with the latest purchases for cancellation, should support per-share earnings and signals confidence in cash generation. Shell announces share buyback program
• Positive Sentiment: Dividend maintained: Shell declared a quarterly interim dividend of $0.3906 per ordinary share and published its 2027 dividend timetable, reinforcing its income and shareholder-return appeal. Shell third-quarter interim dividend
• Neutral Sentiment: Analyst valuation is more cautious: Shell’s reported average price target of GBX 3,775 is below the recent trading level, suggesting some analysts believe the strong earnings news is already reflected in the stock. Shell average target price
• Negative Sentiment: Results include risks and one-off charges: A $1.9 billion writedown reduced the quality of reported earnings, while commentary warned that record refining profits may not persist. Higher freight costs and market disruption could also pressure future margins and balance-sheet performance. Freight rates pressure Shell debt and margins

Shell Company Profile

Shell is a global group of energy and petrochemical companies. Shell's strategy is to deliver more value with less emissions as we work to become a net-zero emissions business by 2050. As we navigate the energy transition through the next decade, we will leverage our global footprint, the trust in our brand, and our innovation and technology capabilities to be the energy company that customers and countries choose to be their partner. We are positioning Shell to become the investment case and partner of choice through the energy transition.

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