UPDATE: BMO Capital Markets Downgrades Cloud Peak Energy to Market Perform, Raises PT

In a report published Monday, BMO Capital Markets downgraded its rating on Cloud Peak Energy

from Outperform to Market Perform, but slightly raised its price target from $22.00 to $23.00. BMO Capital noted, “BMO Research is downgrading Cloud Peak Energy to Market Perform on share price appreciation. Cloud Peak has an excellent position as the lowest-cost producer in the lowest-cost U.S. coal basin coupled with a strong balance sheet and management team. BMO Research's thesis when we upgraded the stock in March was that as the lowest-cost producer in the PRB, CLD could compete at very low natural gas pricing and would outperform peers. Now that natural gas has rebounded and the coal market appears to be strengthening, Cloud will still benefit, but higher-cost peers may now be the outperforming stocks.” Cloud Peak Energy closed on Friday at $21.20.