UPDATE: Societe Generale Downgrades EQT Corporation to Hold, Raises PT on Risk/Reward

In a report published Wednesday, Societe Generale analyst Bob Parija downgraded the rating on EQT Corporation

from Buy to Hold, but raised the price target from $81.00 to $85.00. In the report, Parija noted, “Year to date, shares of EQT are up 37% versus 13% for the EPX, 17% for the S&P500, and 25% for NYMEX natural gas front month price. While there is still upside to our newly established TP of $85/share (from $81/share), the reward ($85 TP) to risk ($68 bear case weighted scenario), based on our risked NAV, no longer justifies a BUY rating in our view. Our 5.1% TSR includes a $0.12 12-month projected dividend. Alongside COG and RRC, we believe EQT is a premier natural gas producer in the Marcellus. Rightfully, 2013's favourable market reaction captures EQT's high growth, high return E&P business and its complementary Midstream business that helps provide visibility to its growth and through its asset drop-down relationship with EQM (No Reco), a midstream MLP, a source of funding for its capital program.” EQT Corporation closed on Tuesday at $81.00.