Wells Fargo Upgrades Teekay Tankers (TNK) to Outperform; Transformative Potential Dropdown Could Reshape Company
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Price: $56.60 --0%
Rating Summary:
6 Buy, 6 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 7 | Down: 5 | New: 3
Rating Summary:
6 Buy, 6 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 7 | Down: 5 | New: 3
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Wells Fargo upgraded Teekay Tankers (NYSE: TNK) from Market Perform to Outperform, price target range $5-$6.
Wells analyst says, "We are upgrading TNK shares as we believe its $60MM follow-on offering (completed 2/8) has left it primed to complete a transformative transaction, which we believe would be accretive to its already elevated distribution (likely a 10+ vessel dropdown from its parent, Outperform-rated Teekay (NYSE: TK) ($27.37). TNK is already yielding 10% based on our 2012 dividend estimate (which includes the dilution from the latest offering), with the potential for accretive deployment of its $350MM in liquidity (as early as the next few months) not yet reflected in the stock, in our view."
For an analyst ratings summary and ratings history on Teekay Tankers click here. For more ratings news on Teekay Tankers click here.
Shares of Teekay Tankers closed at $4.19 yesterday.
Wells analyst says, "We are upgrading TNK shares as we believe its $60MM follow-on offering (completed 2/8) has left it primed to complete a transformative transaction, which we believe would be accretive to its already elevated distribution (likely a 10+ vessel dropdown from its parent, Outperform-rated Teekay (NYSE: TK) ($27.37). TNK is already yielding 10% based on our 2012 dividend estimate (which includes the dilution from the latest offering), with the potential for accretive deployment of its $350MM in liquidity (as early as the next few months) not yet reflected in the stock, in our view."
For an analyst ratings summary and ratings history on Teekay Tankers click here. For more ratings news on Teekay Tankers click here.
Shares of Teekay Tankers closed at $4.19 yesterday.
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