UPDATE: Stifel Nicolaus Initiates Buy, $21 Target on Inergy Midstream
Stifel Nicolaus initiates coverage on Inergy Midstream (NYSE: NRGM) with a Buy rating and a $21 target price, reflecting strategically located assets of the partnership amid an uncertain natural gas market.
Stifel Nicolaus says, "We view storage and transportation of natural gas and NGLs in the Northeastern United States as a crucial link in the chain supplying power to the high density population centers. Inergy Midstream's storage and transportation assets are located within 200 miles from the New York City metropolitan area and sit on the prolific Marcellus Shale play. Ultimately, we believe NRGM provides investors with exposure to a set of essential energy assets that will provide relative pricing stability and growth potential relative to other natural gas storage assets."
NRGM closed at $19.51 a share on Tuesday.
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