UPDATE: Stifel Nicolaus Initiates The Cushing Royalty & Income Fund with Buy, $24.50 PT; Oil, Gas Exposure

Stifel Nicolaus initiates its coverage on The Cushing Royalty & Income Fund (NYSE SRF) with a Buy rating and a price target of $24.50 on oil and gas exposure. Stifel Nicolaus notes, "We view SRF as a unique offering for income-oriented investors seeking oil and natural gas price exposure. The fund offers investors a diversified portfolio of oil and gas production trusts and E&P Master Limited Partnerships in the Closed End Fund (CEF) structure. We believe the fund offers investors the benefit of product, field, and structure diversification with experienced professional management." SRF closed at $23.12 on Tuesday.