Par Pacific Shares Surpass Analyst Target: An In-Depth Review

Recently, shares of Par Pacific Holdings Inc (Symbol: PARR) exceeded the average analyst 12-month target price of $20.22, trading at $20.58 per share. When a stock reaches a target set by an analyst, the analyst has two primary options: they can downgrade the valuation or increase the target price. Analyst responses may also depend on the fundamental business developments driving the stock price higher. If the company shows improvement, a target price adjustment could be warranted.

Analyst Target Variability

There are eight distinct analyst targets within the Zacks coverage universe that contribute to the average for Par Pacific Holdings Inc. This average represents a mathematical midpoint, with some analysts providing lower targets, such as one anticipating a price of $14.75, while another projects a maximum of $26.00. The standard deviation among these targets is $4.378.

The rationale behind examining the average price target is rooted in the “wisdom of crowds” principle. This combines the insights from multiple analysts instead of relying on a single expert’s opinion. With PARR exceeding the $20.22 average target, investors have a timely opportunity to reassess the company’s outlook: is this just an intermediate step before reaching a higher target, or has the valuation become excessive, prompting a reevaluation of their investments?

Recent Analyst Ratings for Par Pacific Holdings

The average rating in the table ranges from 1 to 5, with 1 being a Strong Buy and 5 a Strong Sell. This data comes from Zacks Investment Research via Quandl.com.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.