Credit Suisse Reiterates Outperform, Raises Price Target On Laclede Group As Integration Continues

In a report published Thursday, Credit Suisse analyst Dan Eggers reiterated an Outperform rating on Laclede Group LG, and raised the price target from $57.00 to $59.00. In the report, Credit Suisse noted, "LG delivered an operationally sound quarter with full year 2015 earnings expectations unchanged and the quarterly miss a product of the shift in earnings distribution post the Alagasco integration rather than a change in underlying fundamentals. LG is and will continue to be characterized as a binomial growth story based on both organic growth at its Missouri and now Alabama gas utilities as well as strategic acquisitions of additional gas systems, of which they have completed 2 in the last 2 years. We think the integration blueprint created for the MGE acquisition should help smooth out any road bumps for Alagasco and could result in a shorter timeline for synergy realization." Laclede Group closed on Wednesday at $54.66.