Jefferies Downgrades EQT Corp. (EQT) to Hold

Jefferies downgraded EQT Corp. (NYSE: EQT) from Buy to Hold with a price target of $57.00.

The downgrade comes after the firm reduced their gas price forecast to $3.00/$3.50 for 2016/2017 (from $3.50/$4.00).

Analyst Jonathan Wolff commented: "We are downgrading EQT to Hold from Buy and reducing our RAAV-derived price target to $57 (from $80). We see EQT as a true Appalachia ‘franchise’ with a very strong management group that truly makes rateof-return driven spending decisions. But the downgrade action reflects 1) lower near-term natural gas price assumptions - particularly given EQT’s high current exposure to the ‘crowded’ M2 (SW PA) and M3 (NJ) hubs , 2) a slower upstream development pace, 3) some risk to expansion projects at the EQM partnership in a weak commodity environment and 4) the rise in the cost of capital for midstream entities."

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

Shares of EQT Corp. closed at $52.55 yesterday.

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