06:00 AM EDT, 05/05/2026 (MT Newswires) -- Repsol's (REP.MC) consistently strong refining margins will likely boost distributions in 2026, Berenberg said as it raised its estimates and price target for the Spanish oil and gas giant.

"Repsol's flexible refining system has enabled it to increase production of key products and should ensure that it achieves above-consensus margins through 2026, in our view,"analysts said Tuesday. "The Upstream business is on track to meet FY26 guidance and to benefit from the strong commodity price environment. We increase our 2026 [cash flow from operations] estimate by 15%, resulting in our 2026 buyback assumption increasing by EUR300m (43%). Our 2026 EPS estimates are increased by 12%."

The price target edged up to 28 euros from 27 euros, with an affirmed buy rating.

In the past two months, the company's total refining margin remained "relatively stable,"averaging at $30 per barrel of oil in March and $27/bbl in April, analysts added.