Jefferies Cuts Sable Offshore (SOC) PT to $20 Following $250M Share Placement

Sable Offshore Corp. (NYSE:SOC) is one of the best NYSE penny stocks to invest in right now. On November 11, Jefferies lowered the firm’s price target on Sable Offshore to $20 from $38 but kept a Buy rating on the shares after the company announced its $250 million share placement. The company’s management clarified its future strategy by electing to focus on the OS&T option.

A day prior, on November 10, Roth Capital also cut the firm’s price target on Sable Offshore to $22 from $26 with a Buy rating on the shares. This sentiment was also driven by the company’s announcement of the $250 million share placement. Roth Capital noted that Sable Offshore is an attractive prospect because it is a high-growth company with low base declines and strong field margins.

On November 10, the company entered into subscription agreements for a private placement of common stock with institutional investors. Sable Offshore agreed to issue a total of 45,454,546 shares of its common stock at a purchase price of $5.50 per share. The transaction is expected to generate gross proceeds of ~$250 million.

Sable Offshore Corp. (NYSE:SOC) operates as an independent oil and gas company in the US. The company operates through three platforms located in federal waters offshore California.

While we acknowledge the potential of SOC as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.