Mizuho analyst Gabriel Moreen raised the firm’s price target on Plains All American to $17 from $15 and keeps a Buy rating on the shares. The analyst says the stock’s valuation is "too inexpensive to ignore" given the attractiveness of its free cash flow yield. While concerns about Permian leverage and earnings power are an "undeniable aspect" of Plains All American’s story, a "shortsighted focus" on near-term 2023 guidance numbers "not only misses the valuation gaps" but also obscures the longer-term Permian uplift in 2025, says the firm.
Published first on TheFly
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