Goldman Sachs Upgrades HollyFrontier (HFC) to Conviction Buy, Cites Best-in-Class Assets

Goldman Sachs upgraded HollyFrontier (NYSE: HFC) to Conviction Buy with a price target of $49 (from $36), suggesting 47% upside.

The firm cites: (1) our constructive Mid-Continent refining view and a best-in-class, "pure-play" Mid-Continent asset base, (2) a more diverse Cushing/North of Cushing footprint that we believe benefits from scale, synergies, and greater potential to return robust free cash flow to shareholders, (3) management’s commitment to returning excess cash to shareholders, (4) superior capital project and re-investment opportunities, e.g., similar to its recently announced expansion opportunity at Woods Cross, and (5) Holly's track record of making astute acquisitions.

The firm raised FY11 EPS form $6.58 to $6.65, FY12 from $4.60 to $5.30 and FY13 from $3.70 to $4.05.

For an analyst ratings summary and ratings history on HollyFrontier click here. For more ratings news on HollyFrontier click here.

Shares of HollyFrontier closed at $32.52 yesterday.

---

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

---

You May Also Be Interested In

• Northland Upgrades Astera Labs (ALAB) to Outperform, 'Right Time, Customers, and Products'
• Semiconductor Manufacturing International Corp. (981:HK) (SMI) PT Raised to HK$153 at Goldman Sachs
• Deutsche Bank Downgrades Netskope (NTSK) to Hold on Valuation