UPDATE: Williams Initiates UniSource Energy at Hold

Williams is out with its report today on UniSource Energy (NYSE: UNS), initiating UNS at Hold.

In a note to clients, Williams writes, "We initiate coverage on UniSource Energy Corporation with a Hold investment rating and $41.00 target price on July 8, 2011 at a price of $38.34. While we like UniSource's growth prospects and our target price suggests a respectable total return potential over the next 12 months of approximately 11%, we believe that UNS is a borderline investment decision at this time."

Shares of UNS closed Thursday at $38.34.