Goldman Sachs upgraded Repsol to Buy from Neutral, raising 12‑month price target to €25 from €24.
Q1 2026 adjusted net income fell 3% to €873 million, while operating cash flow hit €2.3 billion and free cash flow €1.31 billion, beating estimates.
Goldman expects refining margins to average $11.5/barrel in 2026, with Q2 realized margins possibly exceeding $25/barrel, boosting cash flow.
The analyst raised 2026 EPS by 9% and 2027 EPS by 19%, forecasting a 10.4% total shareholder return yield in 2026.