UPDATE: Jefferies Upgrades El Paso Electric Company to Buy on 2016 EPS Estimate

In a report published Friday, Jefferies analyst Paul B. Fremont upgraded the rating on El Paso Electric Company

from Hold to Buy, and raised the price target from $34.50 to $39.00. In the report, Fremont noted, “We are upgrading EE to Buy from Hold and initiating a 2016 EPS estimate of $2.85. Although our 2015 earnings estimate is below the Street due to regulatory lag, we believe investors who look past the earnings trough would be rewarded with one of the strongest demand growth profiles in the industry trading at a 15% discount.” El Paso Electric Company closed on Thursday at $33.95.