The Energy Report
Notable Quotes
"With the LOI signed, we urge investors to bolster positions in FCU." (12/22/15) Fission Uranium Corp. - David Sadowski, Raymond James More >
"FCU is taking the right steps regardless of whether PLS is ultimately acquired or developed into a mine." (12/22/15) Fission Uranium Corp. - Heiko Ihle, Rodman & Renshaw More >
"I am quite excited about POE in 2016." (12/16/15) Pan Orient Energy Corp. - Chen Lin, What Is Chen Buying? What Is Chen Selling? More >
"BKX's Oklahoma asset has significant value." (12/16/15) BNK Petroleum Inc. - Michael Charlton, iA Securities More >
"EFR is one of the few companies in a position to write long-term sales contracts and deliver into them at several times its current production rate." (12/17/15) Energy Fuels Inc. - The Gold Report Interview with Eric Coffin More >
Don't Worry About EEP
|
JOHN EDWARDS, Morgan Keegan
(07/29/2010)
"Upgrading to Outperform: We are upgrading Enbridge Energy to outperform as we believe that the ~12% drop in unit value over the last three days over concerns regarding EEP's Michigan oil spill are overblown. Elk City Acquisition could support higher distributions: We are further encouraged by EEP's $682mm acquisition of the Elk City Gathering System from Atlas Pipeline, announced on Wednesday. We believe the incremental EBITDA generated from these assets will support EEP growing its distribution at roughly 5%, the high end of its previous guidance of 2%-5%. Valuation attractive: EEP has pulled back ~12% from its recent high of $60.20 on liability worries over its Michigan oil spill among other factors. We believe EEP's liability is manageable and the $850mm in lost market cap is an over-reaction. We are valuing EEP units at 6.75%-7% yield range equating to a 12-month price range of $60-$62. Adding $4.13/unit of distributions results in a total return potential of 21%-25%." |
PRINT THIS PAGE
EMAIL THIS PAGE
Under SEC rules, analysts are required to disclose their interest in securities that they cover. We strongly encourage you to contact them to understand any potential conflicts of interest they may have.
More Experts
"FCU's deal with CGN helps to financially and technically derisk PLS." (12/21/15) Fission Uranium Corp. - David Talbot, More >
"NXE is our top pick across all commodities." (12/22/15) NexGen Energy Ltd. - The Energy Report Interview with Rob Chang More >
"FCU will continue to explore and add pounds to what is already a world-class project." (12/22/15) Fission Uranium Corp. - The Energy Report Interview with Rob Chang More >
"EFR is well positioned to benefit from higher uranium prices." (12/22/15) Energy Fuels Inc. - The Energy Report Interview with Rob Chang More >
"FCU intends to sell $82M or 19.9% of the company to CGN Mining." (12/22/15) Fission Uranium Corp. - Jeb Handwerger, Gold Stock Trades More >