UPDATE: Credit Suisse Downgrades EQT Midstream Partners to Neutral on YTD Share Appreciation
Credit Suisse downgraded EQT Midstream Partners (NYSE: EQM) from Outperform to Neutral and raised the price target from $39.00 to $41.00.
Credit Suisse analyst John Edwards noted, "We are downgrading EQM to Neutral (from Outperform) on valuation as EQM has rallied nearly 25% thus far in 2013 and appears fairly valued, in our opinion. […] Our revised $41 TP (from $39) is based on a 3.75%-4.0% target yield range on our annualized 4Q13 distribution estimate of $1.60/unit, giving us a TP range of $40-$42 and $41 TP. Adding an expected $1.525 in distributions over the NTM implies total return potential of 7%-14% which is not enough for us to stay at Outperform thus our downgrade to Neutral."
EQT Midstream Partners closed at $38.77 on Tuesday.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.