UPDATE: Wunderlich Downgrades EV Energy Partners LP to Hold on Uncertain Utica Outcome

In a report published Monday, Wunderlich Securities analyst John R. Cusick downgraded the rating on EV Energy Partners LP

from Buy to Hold, and lowered the price target from $78.00 to $54.00. In the report, Cusick noted, “Since the beginning of the Utica process we have said that the properties could add significant value to EVEP if the partnership was able to monetize the properties. But there was also downside risk if the partnership was not able to realize a significant return from the Utica. At this point, we are not sure what or when the value will come from the Utica. Our former price target was predicated on giving EVEP $10,000/acre credit for the properties. At this point, given the uncertainty of the process, we believe it is more prudent to lower the value for the properties. In addition, debt continues to rise and the coverage ratio this year is weak.” EV Energy Partners LP closed on Friday at $42.59.