Citi Raises Price Target on Liberty Global (LBTYA)

Citi raises its price target on Liberty Global Inc.

from $32 to $46. In a note to clients, Citi writes, "We value LGI applying 16.5x to 2011E “core” unlevered free cash flow to get EV of $21.1 billion. Removing “core” net debt of $14.5 billion to get “core” equity value of $32.18 per share. Adding market value of Telenet and Austar stakes - less 20% stake in VTR not owned by LGI - to arrive at equity value of $45.41. We round up to get our new target price of $46." LBTYA is trading at $36.37.