NEW YORK ( TheStreet) -- RATINGS
Alcoa (AA - Get Report) was downgraded to neutral from buy by Sterne Agee, which set a 12-month price target of $12, saying the company is working through a challenging period in its portfolio transformation and is facing fundamental risks to its commodity business.
Axis Capital Holdings (AXS - Get Report) was downgraded to neutral from buy by MKM Partners, which set a 12-month price target of $56. The shares have reached MKM Partners' price target due in part to press stories that the company may become a takeover target itself if its merger plans with PartnerRe (PRE) are not approved by PartnerRe shareholders, MKM said.
Eagle Pharmaceuticals (EGRX - Get Report) was started at outperform by RBC Capital, which set a 12-month price target of $97. Bendamustine is key and drives 54% of the equity value, but there is a solid pipeline of opportunities that can help to support a sustainable growth story, RBC said. Expected near-term M&A on sizable cash balance presents another important catalyst that shouldn't be overlooked, the firm added.
EQT GP Holdings (EQGP) was started at outperform by Credit Suisse, which set a 12-month price target of $43. EQT is a pure-play general partner deriving 100% of its cash flow from its MLP, EQM Midstream Partners (EQM - Get Report), via incentive distribution rights (IDRs) and distributions from EGT's 30% ownership of EQM LP units. Analysts expect EQM to generate a three-year Ebitda compound annual growth rate of 78% and a distribution CAGR of 23% since its 2012 IPO (based on 2015 CS estimates) which has been driven primarily through an aggressive dropdown program with sponsor, EQT Corp. (EQT), Credit Suisse said.
EQT GP Holdings (EQGP) was started at outperform by RBC, which set a 12-month price target of $38. EQM's general partner (EQGP) will be among the fastest growth vehicles in the MLP space, near 35% five-year distribution growth CAGR, RBC said. EQGP comes at a hefty premium, but EQGP's premium is warranted and sustainable given line-of-sight for underlying MLP distribution growth and potential upside longer term from ability to leverage EQT E&P relationship, RBC added.
MetLife (MET - Get Report) was upgraded to outperform from sector perform by RBC Capital, which set a 12-month price target of $68, saying the company is leveraged to higher interest rates and will likely repurchase more shares.
Priceline.com (PCLN) was downgraded to hold from buy by Deutsche Bank, which cited valuation, saying a new analyst has a 12-month price target of $1,325.