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Traders Shrug at JP Morgan's Ecopetrol Upgrade, Shares Modestly Lower

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JP Morgan's Caio Carvalhal issued a note Tuesday boosting his investment rating on Ecopetrol (NYSE: EC) from Underweight to Neutral amid valuation and output growth.

Caio Carvalhal commented on Ecopetrol's "small premium to peers:" the stock currently trades at 9.2x his FY14 P/E estimate, notably above an 8x multiple for the company's international competitors.

Carvalhal is expecting Ecopetrol's production to grow 6.1 percent over 2012 to 2013; he sees 5 percent growth in production over 2014.

Shares of Ecopetrol are down about 0.5 percent on the NYSE despite the upgrade from Carvalhal.

Latest Ratings for EC

DateFirmActionFromTo
Nov 2014JP MorganMaintainsNeutral
Nov 2014RBC CapitalDowngradesSector PerformUnderperform
Jul 2014JP MorganMaintainsNeutral

View More Analyst Ratings for EC
View the Latest Analyst Ratings

Posted-In: Analyst Color Upgrades Analyst Ratings

 

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