Market Overview

UPDATE: Morgan Stanley Resumes Coverage on Enbridge Energy Partners LP on Weak Distribution Coverage

Related EEP
Enbridge Energy Surges 13.4% on Midstream Stake Sale - Analyst Blog
Enbridge Energy Held in Balance - Analyst Blog

In a report published Tuesday, Morgan Stanley analyst Stephen J. Maresca resumed coverage on Enbridge Energy Partners LP (NYSE: EEP) with an Underweight rating and $29.00 price target.

In the report, Morgan Stanley noted, “Oil capital projects target growing crude oil supply from the Bakken Shale and Western Canada, but have material financing needs. Large funding needs (necessitating the selling of interests in large capital projects, a long-term negative), operational challenges, remaining commodity price exposure (until all the gas assets are dropped down), a conservative parent approach to the entity, and volume uncertainty in North Dakota from rail competition will continue to provide challenges. Muted distribution growth (MSe ~2%) trajectory limits upside.”

Enbridge Energy Partners LP closed on Monday at $29.22.

Posted-In: Morgan Stanley Stephen J. MarescaAnalyst Color Initiation Analyst Ratings

 

Most Popular

Related Articles (EEP)

Around the Web, We're Loving...

Partner Network

Get Benzinga's News Delivered Free