NextDecade upgraded to Buy from Hold at Stifel

Stifel upgraded NextDecade to Buy from Hold with a price target of $9, up from $7.50. The analyst believes the stock’s risk/reward is positively skewed following the recent selloff. The undiscounted value to the equity of Rio Grande LNG phase 1 a is about $10 per share, with upside driven primarily from the potential for expansion with a 4th and 5th train potentially adding around $16 per share based on current assumptions, the analyst tells investors in a research note. With the shares trading below the firm’s estimate of fair value for phase 1 and no value being priced in for the possibility of expansion, it believes “there should be asymmetric upside” in NextDecade.