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UPDATE: Bank of America Initiates Northern Tier Energy at Buy with $22 PO on Yield

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RBC Starts Northern Tier At Buy, Western Refining At Perform: Here's Why

Bank of America initiated its coverage on Northern Tier Energy (NYSE: NTI) with a Buy rating and a price objective of $22 a share.

Bank of America noted, "NTI is the first refiner structured as a variable distribution MLP – a refiner that will distribute 100% of available cashflow to unit holders, enabling investors full leverage to seasonal margin fluctuations and crude differentials. While unit price valuation and volatility likely attract a different dynamic than ‘C' corp refining peers, we expect yield to help provide support during periods of seasonal weakness and at current levels of 13.5% based on 2013 distributable cash flow, looks attractive to us."

Northern Tier Energy closed at $18.30 on Friday.

Latest Ratings for NTI

DateFirmActionFromTo
Jul 2015MacquarieInitiates Coverage onNeutral
Jul 2015RBC CapitalInitiates Coverage onOutperform
Jul 2015BarclaysMaintainsOverweight

View More Analyst Ratings for NTI
View the Latest Analyst Ratings

Posted-In: Bank of AmericaAnalyst Color Initiation Pre-Market Outlook Analyst Ratings

 

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