Wells Fargo (NYSE:WFC) took an overall look at the MLPs industry, including Gathering & Processing MLPs' Chesapeake Midstream (Nasdaq:CHKM), DCP Midstream (NYSE:DPM), Regency Energy Partners, L.P. (Nasdaq:RGNC), Western Gas Partners (NYSE:WES), and Crosstex Energy (Nasdaq:XTEX), and lowering our estimates for Atlas Pipeline (NYSE:APL), Copano Energy (Nasdaq:CPNO), MarkWest Energy (NYSE:MWE), and Targa Resources (NYSE:NGLS).
Here's how sized up the group of companies in general: "We are updating our models to reflect actual commodity prices in Q3’10, our revised commodity price deck, and the impact of recent acquisitions/financings. For 2010, we are lowering our DCF per unit estimates by an average of 1%. For 2011, we are raising our DCF per unit estimates for Chesapeake Midstream, DCP Midstream, RGNC, Western Gas Partners, and Crosstex Energy, and lowering our estimates for Atlas Pipeline, Copano Energy, MarkWest Energy, and NGLS."
Their favorite pick in the subsector, is Regency Energy Partners, L.P.
Targa closed Thursday at $28.66, down $0.81, or 2.76 percent. Chesapeake Midstream was slightly lower at $27.08, losing $0.03, or 0.11 percent. DCP Midstream fell to $35.34, dropping $0.44, or 1.23 percent. Regency closed at $24.75, losing $0.17, or 0.68 percent. Western Gas Partners lost $0.33, closing at $28.79, down 1.13 percent. Crosstex Energy closed at just above level, gaining a penny, or 0.07 percent. Atlas Pipeline Partners ended the session at $19.49, falling $0.34, or 1.71 percent. Copano Energy also closed a little above level, gaining $0.04, or 0.14 percent. MarkWest Energy decreased to $38.05 on the day, falling $0.35, or 0.91 percent. Targa ended the trading day at $28.66, losing $0.81, or 2.76 percent.
Showing posts with label Targa Resources. Show all posts
Showing posts with label Targa Resources. Show all posts
Friday, October 15, 2010
Wednesday, October 13, 2010
Barclays (NYSE:BCS) Likes Targa Resources (Nasdaq:NGLS) Distribution Growth Outlook
Citing their sold distribution growth potential, Barclays (NYSE:BCS) reiterated their "Overweight" rating on Targa Resources (Nasdaq:NGLS).
Barclays also readjusted earnings after the recent closing of the acquisition of Vesco.
"We are raising our EBITDA/DCF estimates given the effects of the Vesco acquisition which closed on Sep 28. We adjust our distribution growth estimate to 3% in 2010 and maintain our distribution growth estimate of 5% from 2011-2013. Our distribution estimate implies average distribution coverage of 1.3x. We continue to believe NGLS is well positioned to show solid distribution growth driven by organic projects and 3rd party acquisitions," said Barclays.
Targo closed yesterday at $30.39, gaining $0.38, or 1.27 percent. Barclays raised their price target on natural gas and natural gas liquid services company to $31 a share.
Barclays also readjusted earnings after the recent closing of the acquisition of Vesco.
"We are raising our EBITDA/DCF estimates given the effects of the Vesco acquisition which closed on Sep 28. We adjust our distribution growth estimate to 3% in 2010 and maintain our distribution growth estimate of 5% from 2011-2013. Our distribution estimate implies average distribution coverage of 1.3x. We continue to believe NGLS is well positioned to show solid distribution growth driven by organic projects and 3rd party acquisitions," said Barclays.
Targo closed yesterday at $30.39, gaining $0.38, or 1.27 percent. Barclays raised their price target on natural gas and natural gas liquid services company to $31 a share.
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