UPDATE: Bank of America Reiterates on Kirby as Demand Accelerates

In a report published Tuesday, Bank of America analyst Ken Hoexter reiterated a Buy rating on

, and raised the price target from $109.00 to $115.00. In the report, Bank of America noted, “Kirby is adding 29 barge production slots, 18 from an independent competitor which had contracted with Trinity Industries (TRN, $72.90, not rated), and 11 new slots, also with Trinity, for $81 million, or $2.8 mil. per 30,000 barrel tanker barge. It had previously budgeted for 37 10,000 barrel tank barges for $45 mil., or $1.2 million per 10,000 barrel barge. The original capex was targeted for replacement, with the new barges (830,000 barrels of capacity) a 5% expansion to its 17.3 million barrel fleet.” Kirby closed on Monday at $104.74.