TD Cowen has raised its price target on TotalEnergies SE (NYSE:TTE) to $80 from $70, but left its rating on the stock at Hold. The new objective offers only limited upside from the prevailing market price of $76, although InvestingPro data referenced by analysts indicates TotalEnergies may be trading below its Fair Value estimate.
The bank highlighted two primary supports for the higher target: growth in TotalEnergies’ power segment and prospective resource development in Namibia. TD Cowen analyst Jason Gabelman pointed to rising demand from data centers as a key tailwind for the power business, and he sees growth potential that extends beyond 2030. TD Cowen noted that these initiatives have contributed to a notable 31.25% return in TotalEnergies’ share price over the last year.
On the exploration and production side, TD Cowen said Namibia could host enough resources to support more than two floating production storage and offloading vessels. The firm suggested such developments could help drive free cash flow growth over the next decade. TotalEnergies currently posts a free cash flow yield of about 6% and a dividend yield near 7.88%, metrics that remain attractive to income-focused investors.
TD Cowen also flagged that TotalEnergies’ fiscal 2026 cash flow from operations guidance was slightly below the bank’s forecast. The company has indicated it is open to pursuing both small and large acquisitions to help address a 1 billion cubic feet per day natural gas shortfall in the United States. Based on the combination of the firm’s power expansion, Namibia potential, and capital allocation options, TD Cowen moved its price target to $80 while keeping the Hold rating unchanged.
Other recent corporate developments underline the company’s active project and relationship pipeline. TotalEnergies has restarted its Mozambique LNG project after lifting a force majeure that was put in place in 2021 following discussions with the Mozambican government. The restart marks a significant step for the project’s future operations.
Separately, TotalEnergies and Kuwait Oil Company signed a Memorandum of Understanding to deepen cooperation and carry out technical studies, aiming to strengthen joint efforts between the two companies.
Analyst coverage of TotalEnergies is varied. Kepler Cheuvreux recently downgraded the stock from Hold to Reduce, citing concerns tied to an anticipated oil price glut. In another note, TD Cowen itself was cited as having previously raised a price target to $70 while keeping a Hold rating and adjusting its fourth-quarter 2025 earnings per share estimate to $1.66. Additionally, Bernstein has named TotalEnergies among its top ESG picks for the first quarter of 2026, citing the company’s sustainability profile.
These developments paint a picture of a company balancing project restarts, international technical cooperation, and capital allocation options while facing divergent analyst views on near-term valuation and commodity price risk.
Analyst context and market positioning
TD Cowen’s revised target reflects confidence in structural growth opportunities in power and exploration upside in Namibia, but the unchanged Hold rating signals that the brokerage does not see clear near-term upside sufficient to recommend accumulation. Investors and market participants will likely weigh the company’s dividend yield and free cash flow metrics against ongoing macro commodity risks highlighted by other brokers.