UPDATE: Deutsche Bank Reiterates Buy Rating, Raises PT on CONSOL Energy Following 3Q13 Preview

In a report published Monday, Deutsche Bank analyst David S. Martin reiterated a Buy rating on

, and raised the price target from $38.00 to $45.00. In the report, Deutsche Bank noted, “Recent CNX comments have gone well beyond the ‘our shares are undervalued' & indicate that CNX is reviewing (midstream) MLP options, the current coal-gas structure and other asset options. Also, the company indicated that meaningful news may be forthcoming as soon as its 3Q report. Coal asset sales are being considered (according to trade reports), but much of value accretion exists outside of coal mining where resource expansion is underway (Marcellus & Utica) and/or multiples are attractive (MLPs). Given that corporate action appears likely we have shifted to a SOTP-NAV valuation with a PT of $45. Our SOTP-NAV points to net value of $45-50/share with less than 50% of total value attributable to coal (which generated nearly 80% of operating earnings in 1H13) and up to $10b of value in gas. An MLP of its coal/gas infrastructure is a possible early move and more accretion is likely from the development of its gas resources. Risks are that CNX doesn't deliver a ‘deal' within 30 days but we continue to see multiple ways for investors to ‘win' including strategic moves, resources & commodity momentum.” CONSOL Energy closed on Friday at $38.17.