"Despite a tightening spread, Clean Energy continues to win contracts, increase gallons delivered, innovate on its offerings, and improve its customer footprint," analysts said.
However, they highlighted some key risks to the price target increase, including delays in the construction of stations or NGV engines, idling stations, increased competition, and a sustained decline in oil prices.
The price target hike comes after United Parcel Service (UPS) announced in early May that it would use renewable natural gas from Clean Energy Fuels for some of its delivery fleet, The Wall Street Journal reported.
Clean Energy Fuels' renewable gas, called Redeem, is the first renewable natural gas available in commercial quantities.
In Tuesday's midday trading, shares of Clean Energy Fuels are declining 4.63% to $7.74.
TheStreet Ratings team rates CLEAN ENERGY FUELS CORP as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate CLEAN ENERGY FUELS CORP (CLNE) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, disappointing return on equity, poor profit margins, generally high debt management risk and generally disappointing historical performance in the stock itself."