UPDATE: Credit Suisse Downgrades NuStar Energy to Underperform, Lowers PT
In a report published Friday, Credit Suisse downgraded its rating on NuStar Energy LP (NYSE: NS) from Outperform to Underperform, and lowered its price target from $64.00 to $44.00.
Credit Suisse noted, “The deterioration of NS' asphalt and fuels marketing segment continues to surprise to the downside and more than offset the growth in its fee-based storage and transportation segments. As a result, we do not believe NS will be able to cover its distribution in 2013 and beyond. Combined with an over-levered balance sheet, we believe the sustainability of NS' distribution is now at risk. Our $44 target price (from $64) reflects this risk and provides for a -3% total return over the next twelve months.”
NuStar Energy closed on Thursday at $49.75.
Latest Ratings for NS
|Sep 2016||Mizuho||Initiates Coverage on||Neutral|
|Sep 2016||Stifel Nicolaus||Upgrades||Hold||Buy|
|Sep 2016||FBR Capital||Initiates Coverage on||Market Perform|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.