Shell Picks Up Two Higher Price Targets While Buyback and Fuel Offtakes Roll Forward
Published on 11/07/2026 at 16:32 | Editorial boerse-global.de
Shell drew fresh bullish attention from two brokers this week, even as its shares slipped over the recent stretch. Morgan Stanley lifted its price target on the energy major to GBP 39.61, according to media reports, while TD Cowen analyst Jason Gabelman reaffirmed his buy rating on Monday and raised his target from $115 to $120. The twin moves land against a softer backdrop for the stock, which has shed 8.5% over the past seven days.
Buyback Keeps Grinding Through the Market
Behind the target revisions, Shell has been steadily mopping up its own equity. The company disclosed purchases of shares for cancellation executed on Thursday, with the transactions spread across multiple venues including the LSE and XAMS. The buyback follows a familiar rhythm: Shell reported buying 1,876,276 shares for cancellation on Wednesday, and 1,890,632 on Tuesday.
All of these trades sit inside the $5.0 billion repurchase programme announced roughly a week ago. Management expects to wrap it up by the time fourth-quarter 2026 results are published. The programme is split between a London contract capped at $3 billion and a Dutch contract with a $2 billion ceiling.
Should investors sell immediately? Or is it worth buying Shell?
The buyback rests on a solid quarterly foundation. Shell's figures published on 29 October showed adjusted earnings of $10.814 billion for the third quarter of 2026, alongside operating cash flow of $21.043 billion. The company also declared an interim dividend of US$0.3906 per ordinary share for the period.
In a statement released Monday, Shell put the number of voting ordinary shares at 5,701,440,412 as of 30 October. As of that record date, the company held no shares in treasury.
Fuel Supply Deals Stretch From Morocco to Greece
Capital returns are only part of the story. Shell Trading Rotterdam has signed a long-term offtake agreement with Green Sky Manara covering sustainable aviation fuel and other biofuels from a planned facility at Port Nador in Morocco, a deal first flagged by Energy Intelligence. Under the arrangement, Shell is to receive exclusive purchasing rights for roughly 150,000 tonnes of sustainable aviation fuel per year, drawn from the site's future production.
On the gas side, Shell Global LNG Limited agreed on Monday to supply METLEN with six cargoes per year, according to METLEN. That contract runs for five years starting in 2027 and covers about 0.6 billion cubic metres annually, with the LNG sourced mainly from Shell's US portfolio. Unlike the Moroccan offtake, which concerns a plant not yet built, this one covers deliveries from Shell to an end customer.
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