UPDATE: Credit Suisse Upgrades Dominion Resources

Credit Suisse published a research report on Dominion Resources D and upgraded the company from Neutral to Outperform with a $59 price target. In the report, Credit Suisse wrote, "Dominion extended its projected core growth capex plans to $13.5 BN through 2017 with 80% covered under explicit recovery mechanisms and the rest will be under negotiated tariffs. We view this as the 'safest' growth program in the group, supporting the 5-6% EPS growth target. Dominion is uniquely protected in a world concerned about falling ROEs through (a) the VEPCO utility (59% of EPS) will reset its reference ROE baseline at year-end 2012, providing a new 4-year window where earned ROEs are not at risk to a base rate case and (b) Dominion Energy (pipeline / gathering at 24% of EPS) operates predominately under negotiated tariff rates that face significantly less risk of reductions. With the other large caps all facing major ratecases over the next 18 months, we think Dominion should be an attractive safe-haven for investors." Dominion Resources is currently trading up 0.51 percent from Tuesday's $52.82 closing price.