UPDATE: Stifel Initiates Coverage on Matson on Market Leader Position

In a report published Wednesday, Stifel analyst Benjamin Nolan initiated coverage on

with a Buy rating and $32.00 price target. In the report, Stifel noted, “We are initiating coverage of Matson (MATX) with a Buy rating with a $32 target price on the shares. We expect Matson to continue to be the leader in Hawaiian container shipping, and given 1) expectations for continued growth in Hawaiian container demand, 2) high barriers to entry, and 3) Matson's strong financing position which should enable the company to capture market share, we believe the company should be in an excellent position to see long-term earnings growth. With the shares trading at 14.2x our 2015 earnings estimate of $1.80 per share versus the peer comps of 16.1x, we believe MATX shares are attractively valued at current levels.” Matson closed on Tuesday at $25.50.