The Globe and Mail reports in its Thursday, April 10, edition that Raymond James analysts Michael Barth and Luke Davis downgraded Precision Drilling to "outperform" from "strong buy" after revising their commodity price expectations for the Canadian energy sector, favouring natural gas companies over oil ahead of the first quarter 2025 earnings season. The Globe's David Leeder writes that Mr. Barth and Mr. Davis cut their share target to $124 from $141. Analysts on average target the shares at $119.47. Mr. Barth and Mr. Davis say in a note: "We sit slightly below consensus for 1Q25, and well below consensus on FY25 and FY26 estimates as we bring down our U.S. active rig count, day rate, and day margin estimates. We expect that the oil-directed rig count should start to decline more than US$65/bbl WTI, with the pace of decline accelerating every $5 (U.S.)/bbl below that. Even if gas-directed drilling rebounds later this year, we don't expect it would be enough to offset the decline on the oil side, and net/net that reduction in activity should also drag down day rates and day margins. Our target falls from $141/share to $124/share on these revisions, but still sits a whopping 128 per cent above the last close price."