UPDATE: Credit Suisse Initiates Coverage on Crosstex Energy with Outperform Rating, $19 PT
In a report published Friday, Credit Suisse Group initiated coverage on Crosstex Energy (NASDAQ: XTXI) with an Outperform rating and $19.00 price target.
Credit Suisse noted, “We are initiating coverage of Crosstex Energy, Inc. (XTXI) with an Outperform rating. As the owner of the general partner of Crosstex Energy, LP. (XTEX), XTXI is well positioned to benefit from distribution growth at XTEX. XTXI owns 16.4mm common units of XTEX, a 1.8% GP stake in XTEX, and 100% of the incentive distribution rights (IDRs) of XTEX. XTXI is guiding to 20-25% dividend growth for 2013, and we believe that XTXI should be able to maintain that pace for the following two years for a three-year dividend CAGR of 24%. The current median dividend growth outlook at XTXI at 10% looks a bit low, given the 8-10% distribution growth outlook at XTEX.”
Crosstex Energy closed on Thursday at $14.22.
Latest Ratings for XTXI
|Dec 2013||Goldman Sachs||Initiates Coverage on||Neutral|
|Dec 2013||Wunderlich||Initiates Coverage on||Hold|
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