TC Pipelines (NYSE:TCP) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Wednesday, Zacks.com reports. The firm currently has a $40.00 price objective on the pipeline company’s stock. Zacks Investment Research‘s price objective would indicate a potential upside of 13.60% from the company’s current price.
According to Zacks, “TC PipeLines' impressive regionally-diverse portfolio of midstream assets including Northern Border, Great Lakes and PNGTS pipelines, among others, are driving the firm’s growth. The partnership is also progressing well on the back of brownfield expansion projects like Portland Xpress and Westbrook Xpress, which are likely to further buoy earnings and DCF. As it is, the firm’s long-term pipeline contracts enable it to generate 7% yielding payout, which is higher than the industry, in turn boosting investors’ confidence. Moreover, infrastructural bottlenecks in North America have boosted the demand for pipeline operators like TC PipeLines in the region, enabling the partnership to book substantial profits. As such, analysts are bullish on the stock.”
A number of other research analysts also recently weighed in on TCP. Wolfe Research downgraded TC Pipelines from a “market perform” rating to an “underperform” rating in a research note on Monday, January 7th. JPMorgan Chase & Co. downgraded TC Pipelines from a “neutral” rating to an “underweight” rating and decreased their price target for the company from $36.00 to $35.00 in a research note on Friday, February 1st. Barclays restated a “sell” rating and issued a $33.00 price target on shares of TC Pipelines in a research note on Friday, February 22nd. ValuEngine upgraded TC Pipelines from a “strong sell” rating to a “sell” rating in a research note on Tuesday, March 19th. Finally, Wells Fargo & Co upgraded TC Pipelines from a “market perform” rating to an “outperform” rating and raised their price target for the company from $31.00 to $38.00 in a research note on Tuesday, March 19th. Five analysts have rated the stock with a sell rating, three have given a hold rating and two have assigned a buy rating to the company. The stock has an average rating of “Hold” and a consensus price target of $39.25.
TC Pipelines (NYSE:TCP) last posted its quarterly earnings results on Thursday, February 21st. The pipeline company reported $1.06 earnings per share for the quarter, beating the Zacks’ consensus estimate of $0.83 by $0.23. The firm had revenue of $220.00 million during the quarter. TC Pipelines had a positive return on equity of 30.60% and a negative net margin of 33.15%. On average, research analysts predict that TC Pipelines will post 3.42 earnings per share for the current fiscal year.
Hedge funds and other institutional investors have recently modified their holdings of the company. Portfolio Solutions LLC bought a new position in shares of TC Pipelines during the 4th quarter worth approximately $36,000. Truvestments Capital LLC bought a new position in shares of TC Pipelines during the 1st quarter worth approximately $37,000. Signet Investment Advisory Group Inc. bought a new position in shares of TC Pipelines during the 4th quarter worth approximately $41,000. Lindbrook Capital LLC bought a new position in shares of TC Pipelines during the 4th quarter worth approximately $48,000. Finally, Arlington Partners LLC bought a new position in shares of TC Pipelines during the 4th quarter worth approximately $48,000. Institutional investors own 62.68% of the company’s stock.
About TC Pipelines
TC PipeLines, LP acquires, owns, and participates in the management of energy infrastructure businesses in North America. The company has interests in eight natural gas interstate pipeline systems that transport approximately 10.8 billion cubic feet per day of natural gas from producing regions and import facilities to market hubs and consuming markets primarily in the Western, Midwestern, and Eastern United States.
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