UPDATE: Credit Suisse Initiates BreitBurn Energy Partners with Neutral, $16 PT on Shift from Growth to Preservation

Credit Suisse initiates its coverage on BreitBurn Energy Partners

with a Neutral rating and a price target of $16. Credit Suisse comments, "We initiate coverage of BBEP with a Neutral rating and $16 target price. In our view, BBEP's unit price fairly reflects the company's slowing distribution growth prospects. Based on the current price, we forecast a total return of 10%. …We see BBEP's focus shifting from growing the distribution to preserving it. Following a period of renewed growth at the partnership, BBEP faces a series of headwinds in 2013-14 owing to (1) a backwardated hedge portfolio and (2) lower commodity prices." BBEP closed at $16.16 on Tuesday.