RBC announced on Tuesday that it had downgraded its recommendation on Equinor shares to 'in-line performance' from 'outperform', with a parallel target price cut from NOK 390 to NOK 350.

Analysts at the Canadian bank say they fear that, in view of the economic slowdown and low commodity prices, the Norwegian oil company may decide to redistribute less cash to its shareholders next year.

Adding the prospect of possible downward revisions to its earnings estimates, the bank says it perceives a "more balanced" risk/reward potential for the stock at this stage.

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