Pengrowth Energy Trust (PGH) Rated An ‘Outperformer’

Credit Suisse has recently started covering Pengrowth Energy Trust (NYSE: PGH) and initially has given it an ‘Outperformer’ rating.

According to a report released by Credit Suisse, Pengrowth Energy Trust is expected to make more efficient and targeted use of its capital under the new management. There is also a scope for improvement on the valuation front. Credit Suisse has given a 12-months price target of C$12 that translates into 6.4X multiple of expected EBIDA for Year2011. Pengrowth has strong financial liquidity with relatively low debt, which will help the trust in accelerating its new strategic objective.