Analyst Sam Burwell of Jefferies maintained a Buy rating on AltaGas, boosting the price target to C$49.00.
Claim 70% Off TipRanks This Holiday Season
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
Sam Burwell has given his Buy rating due to a combination of factors that highlight AltaGas’s strategic decisions and market position. The company’s choice to retain its stake in MVP and raise equity is seen as a positive move, suggesting confidence in the asset’s value and potential for growth. This decision comes in the context of favorable developments, indicating that the company is well-positioned to benefit from future opportunities.
Additionally, the retention of a high-quality asset with significant expansion potential, alongside the issuance of equity at a time when the stock is performing well compared to peers, supports the Buy rating. This strategic approach is expected to result in modest earnings per share accretion while maintaining leverage at a similar level to alternative scenarios, reinforcing the company’s financial stability and growth prospects.
In another report released on October 31, National Bank also maintained a Buy rating on the stock with a C$46.00 price target.