What RBC Dominin says...(wording..) * In a research note titled Where there’s a will, there’s a way, RBC Dominion Securities analyst Robert Kwan raised his AltaGas Ltd. (
) target to $31 from $26, keeping an “outperformer” rating. The average target on the Street is $25.70.
“We expect the market to continue to drive AltaGas’ share price higher based on a more positive outlook for Midstream volumes and higher valuations for both Midstream and Utilities, partly driven by recent M&A in the sector,” he said. “On M&A, while it is not the primary strategy, we believe that AltaGas’ willingness to explore value-enhancing opportunities (e.g., asset sales; breaking up the company) will lead to investors being more likely to ascribe higher valuations for AltaGas’ assets (and stock) versus its peers that the market views as unlikely to take similar steps.”