Global Hunter Securities Upgrades Plains All American (PAA) to Buy; Can't Ignore Consistent Outperformance
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Price: $56.97 +0.37%
Rating Summary:
12 Buy, 5 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 12 | Down: 19 | New: 21
Rating Summary:
12 Buy, 5 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 12 | Down: 19 | New: 21
Trade PAA Now!
Global Hunter Securities upgraded Plains All American (NYSE: PAA) from to Buy with a price target of $94.00 (from $84.00).
Analyst, Bernard Colson, said, "Q2:12 results were in line with previously increased guidance, representing a very strong quarter for the MLP. PAA continues to announce what we view to be attractive organic growth projects. These contracted and largely fee-based projects give us increased confidence that PAA will continue to operate at a distribution coverage ratio well in excess of what is necessary to comfortably run its business (1.5x expected for 2012). We believe it is possible that PAA joins its peers Magellan Midstream (NYSE: MMP), Sunoco Logistics (NYSE: SXL) and Tesoro Logistics (Nasdaq: TLLP) by raising its quarterly distribution in a step change, modeling a 5.4% QoQ increase in Q1:13. This coincides with cash flow from several of the company's growth projects. We believe this will drive attractive performance of PAA units and recommend purchase at the current price."
For an analyst ratings summary and ratings history on Plains All American click here. For more ratings news on Plains All American click here.
Shares of Plains All American closed at $86.15 yesterday, with a 52 week range of $54.90-$88.07.
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Analyst, Bernard Colson, said, "Q2:12 results were in line with previously increased guidance, representing a very strong quarter for the MLP. PAA continues to announce what we view to be attractive organic growth projects. These contracted and largely fee-based projects give us increased confidence that PAA will continue to operate at a distribution coverage ratio well in excess of what is necessary to comfortably run its business (1.5x expected for 2012). We believe it is possible that PAA joins its peers Magellan Midstream (NYSE: MMP), Sunoco Logistics (NYSE: SXL) and Tesoro Logistics (Nasdaq: TLLP) by raising its quarterly distribution in a step change, modeling a 5.4% QoQ increase in Q1:13. This coincides with cash flow from several of the company's growth projects. We believe this will drive attractive performance of PAA units and recommend purchase at the current price."
For an analyst ratings summary and ratings history on Plains All American click here. For more ratings news on Plains All American click here.
Shares of Plains All American closed at $86.15 yesterday, with a 52 week range of $54.90-$88.07.
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