Algonquin Power ( NYSE: AQN ) +1.6% in Thursday's trading as Wells Fargo upgraded shares to Overweight from Equal Weight with a $9 price target, anticipating the company will launch aggressive strategic actions to firm its financial footing including a material dividend cut and a paring back of capital investment; AQN has scheduled a business update for January 12.
Wells Fargo said its analysis is baed on an EV/EBITDA analysis for the Regulated group and the Renewables group and fair market value for Algonquin's ( AQN ) long-term investments, which include the company's 43% ownership stake in Atlantica Sustainable Infrastructure.
Algonquin Power ( AQN ) has been among the poorest performing utility stocks, especially after FERC denied the company's Kentucky Power deal, Trapping Value writes in an a nalysis published recently on Seeking Alpha .
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Algonquin Power upgraded at Wells Fargo, anticipating steps to firm finances