UBS Downgrades Spectra Energy (SE) to Neutral
Get the Pulse of the Market with StreetInsider.com's Pulse Picks. Get your Free Trial here.
UBS downgraded Spectra Energy (NYSE: SE) from Buy to Neutral with a price target of $44.00 (from $39.00). The downgraded follows its merger announcement.
Analyst Shneur Z. Gershuni said, "We are moving to Neutral from Buy to reflect the current share value that the 0.984 exchange ratio for the planned merger with Enbridge implies. We anticipate that the transaction will be able to close in 1Q17 as planned given that there are minimal overlaps in the two companies business and limited regulatory risk. Additionally, the transaction has been viewed favorably by the market and the dividend growth rate is expected to accelerate for the combined company to 15% in'17 and 10%-12% '18- '24 versus the previous stand-alone growth rate of high-single-digits."
Shares of Spectra Energy closed at $42.80 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Oppenheimer Raises Price Target on Microsoft (MSFT) to $65 Following 1Q Beat
- Seaport Global Securities Upgrades Tutor Perini Corporation (TPC) to Buy
- UPDATE: Stifel Downgrades SL Green Realty (SLG) to Hold
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS View, Analyst PT Change, Downgrades
Related EntitiesUBS, Definitive Agreement
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!