UBS upgrades EQT share price target, citing growth potential

In the United States, on May 5, 2025, analyst Josh Silverstein from UBS provided a notable upgrade for EQT, an American natural gas company. He raised the rating of its shares from neutral to buy and increased the price target by $10, positioning it at $64. This adjustment reflects a potential upside of 23.4% from its closing price the previous Friday. This upgrade comes as EQT has already experienced a rise of 12% in the year 2025, significantly outperforming the S&P 500, which has seen a decline of over 3% during the same period. Silverstein's optimistic outlook is driven by expected catalysts poised to boost EQT's stock in the coming year. In his Monday note to clients, Silverstein highlighted that the natural gas outlook for 2026 appears strong, backed by the upcoming launch of three large-scale liquefied natural gas facilities in the Gulf region. Demand for natural gas is also anticipated to rise due to increasing power generation needs linked to artificial intelligence data center developments across the nation. Additionally, Silverstein emphasized EQT's strategic positioning, noting its unhedged exposure to these developments, which he believes could yield significant benefits for the company. Furthermore, EQT could enhance its market presence this year, as the company is currently exploring commercial power supply contracts, particularly within the Appalachian Basin. Silverstein mentioned that EQT is involved in more than ten negotiations concerning such contracts, which could serve as additional growth catalysts. Moreover, EQT announced its intent to acquire oil and gas company Olympus Energy for $1.8 billion, with the deal expected to close in the third quarter of this year. This acquisition could further solidify EQT's position in the market and contribute positively to its financial performance moving forward. The upgraded rating now aligns Josh Silverstein with a consensus of 16 other analysts who have issued buy or strong buy ratings for EQT's stock. Meanwhile, 8 analysts have maintained a neutral stance, indicating a hold rating on the shares. The overall market sentiment seems favorable for EQT as it navigates upcoming opportunities and challenges in the energy sector, which may result in sustained growth and profitability in the near future.