CorEnergy Upgraded By Stifel As Midstream Contracts 'Look Secure'

Stifel's Selman Akyol upgraded CorEnergy Infrastructure Trust Inc CORR to Buy from Hold and set a price target of $32.

The analyst believed "market uncertainty over whether CORR will continue to collect rent payments has been an overhang on the stock." The commodity environment is also improving and CorEnergy's tenants are staying current on payments, Akyol stated. For these reasons, the analyst's confidence in the company has grown, especially in CORR's cash flows.

"CORR's uncertainty over the tenants at GIGS and Pinedale" kept Akyol on the sidelines. The company's midstream contracts have been looking "increasingly secure" and "CORR's risk/reward proposition now presents an attractive investment opportunity."

Akyol stated that CorEnergy's assets have been derisked to a an extent and the company provides a potentially positive opportunity.

Shares traded up more than 8 percent on Wednesday.