Wells Fargo Upgrades PNM Resources (PNM) to Outperform; Unregulated Businesses Divested - FCP Fetches A Nice Price

Wells Fargo upgraded PNM Resources (NYSE: PNM) from Market Perform to Outperform with a price target range of $17.25-$18.50 (from $14.50-$15.50)

Wells analyst says, "On September 23, PNM announced agreements to divest its unregulated business segments, First Choice Power (FCP) and Optim Energy. While the divestitures didn't surprise us, the roughly $300MM sale price for FCP far surpassed our expectations. We are increasing our 2011-13 EPS estimates to $1.02, $1.29, and $1.50 from $0.90, $1.18, and $1.30, respectively. Given more than 15% upside to the top of our range, we are upgrading shares."

For more ratings news on PNM Resources click here and for the rating history of PNM Resources click here.

Shares of PNM Resources closed at $16.02 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• AMD (AMD) to offer senior notes in four parts
• New Street Research Upgrades Micron Technology (MU) to Buy
• Orange EV Secures $100 Million Credit Facility with Wells Fargo