Market Overview

UPDATE: Bank of America Initiates SunCoke Energy Partners at Buy on Valuation, Drop-Down Growth

25 Stocks Moving In Thursday's Pre-Market Session
Jim Cramer Weighs In On Freeport-McMoRan And SunCoke Energy

Bank of America initiated coverage on SunCoke Energy Partners (NASDAQ: SXCP) with a Buy rating and a $23.00 price objective.

Bank of America noted, "We initiate SunCoke Energy Partners LP (SXCP) with a Buy rating and $23 PO. SXCP is the MLP spinoff of SunCoke Energy (SXC) and holds 65% of two coke ovens. We like its steady take-or-pay contract structure with ~13 remaining years. SXCP compares to traditional fee-based MLPs given its pass-through structure and limited commodity risk. We estimate drop downs can drive 6-7% annual distribution growth. It IPOed at $19/shr, the low end of its range, on Jan 18."

SunCoke Energy Partners closed at $20.55 on Monday.

Latest Ratings for SXCP

Jan 2016BarclaysDowngradesEqual-WeightUnderweight
Sep 2015FBR CapitalInitiates Coverage onOutperform
Jul 2015BarclaysMaintainsEqual-Weight

View More Analyst Ratings for SXCP
View the Latest Analyst Ratings

Posted-In: Bank of AmericaAnalyst Color Initiation Analyst Ratings


Related Articles (SXCP)

View Comments and Join the Discussion!