Story updated at 9:55 a.m. to reflect market activity.
Enbridge Energy gained 0.2% to $36.15 in morning trading.
The firm maintained its "neutral" rating for the stock. Analyst Shneur Z. Gershuni cited Enbridge's announcement that it will waive its current right to receive Incentive Distribution Rights (IDRS) in the note increasing the price target.
"In consideration, the GP will receive 66.1 million Class D LP units and newly created Incentive Distribution Units (IDUs)," Gershuni wrote. "The distributions will receive the same cash distributions as Class A units. The new IDUs will earn 25% of all distributions in excess of $0.5435/unit per qtr (including its 2% GP interest). Owners of Class D units can convert to Class A units after fifth anniversary of issuance; IDUs will not be convertible or redeemable. "
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Separately, TheStreet Ratings team rates ENBRIDGE ENERGY PRTNRS -LP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate ENBRIDGE ENERGY PRTNRS -LP (EEP) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, good cash flow from operations, increase in stock price during the past year and growth in earnings per share. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."