Spire upgraded to Buy from Neutral at Mizuho

Mizuho analyst Gabriel Moreen upgraded Spire to Buy from Neutral with a price target of $66, down from $71. Spire’s relative underperformance to peers seems overdone as its valuation has reached an attractive level, the analyst tells investors in a research note. The firm says that while the company’s “disappointing” fiscal Q3 results “threw investors for a loop,” Spire can regain its balance toward a more straightforward trajectory. Catalysts include balance sheet improvement, modest regulatory wins and stability in Alabama and Missouri, and potential gas marketing benefits given a deep contango natural gas curve, says Mizuho.