UPDATE: Bank of America Drops PO to $19 on Crosstex Energy on Recent NGL Price Trends
Bank of America reiterated its Buy rating on CrossTex Energy (NASDAQ: XTEX) but lowered its price objective from $20 to $19.
Bank of America noted, "We are lowering our 2012/13/14E EBITDA estimates after incorporating recent NGL price trends and the latest WTI crude oil forecasts from the BofAML commodities team. In our view, a more conservative approach to forecasting commodity prices is warranted given current broader macroeconomic uncertainty. We are lowering our PO to $19 (from $20) based on a 7.5% target yield on our annualized 3Q13E distribution of $1.43."
Crosstex Energy closed at $16.63 on Friday.
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