Allegheny Energy (AYE) Upgraded To Sector Perform

RBC Capital Markets upgraded its rating of Allegheny Energy Inc. (NYSE: AYE) from Underperform to Sector Perform and raised its price target from $22 to $27.

It was the first upgrade for the utility company after a series of downgrades (including two downgrades by RBC Capital Markets) over the past year.

Allegheny Energy's 52 week trading range is $20.32 to $29.85.

Despite the upgrade the stock fell nearly 2% in morning trading, following unease about China's attempts to slow its economy and news that a law firm was investigating possible breaches of fiduciary duty by Allegheny Energy's related to Allegheny Energy's proposed merger with FirstEnergy Corp (NYSE: FE).