Knife River initiated with a Neutral at JPMorgan

JPMorgan initiated coverage of Knife River (KNF) with a Neutral rating and $83 price target The firm says Knife is a vertically integrated aggregates and construction materials company with a footprint across 14 Western and Central U.S. states. It believes a lack of near- to medium-term visibility, lower free cash flow conversion relative to peers, no expectations for returning cash to shareholders, and the “show me” aspect of its margin improvement initiatives warrant a Neutral rating.