UPDATE: UBS Upgrades Hoegh LNG Partners LP (HMLP) to Buy

UBS upgraded Hoegh LNG Partners LP (NYSE: HMLP) from Neutral to Buy with a price target of $26.00.

Analyst Spiro M. Dounis said, "We upgrade HMLP to Buy from Neutral following a post-IPO sell-off in tandem with other shipping and LNG-related stocks. We believe HMLP presents a buying opportunity at current trading levels given our forecast for an ~13% distribution CAGR between 2015-2018. Despite falling crude prices that have pressured LNG-linked prices down, we remind investors that HMLP does not hold direct commodity exposure and has long-term contracts that provide cash flow stability. We acknowledge that a prolonged downturn in crude prices could dampen incentives to build new LNG capacity. However, current crude prices may not be sustainable given several producing countries' incentive prices are above these levels."

For an analyst ratings summary and ratings history on Hoegh LNG Partners LP click here. For more ratings news on Hoegh LNG Partners LP click here.

Shares of Hoegh LNG Partners LP closed at $18.80 yesterday.

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