Crosstex Energy initiated with "buy"

10/04/06 - KeyBanc Capital Markets

NEW YORK, October 4 (newratings.com) - Analyst Daniel P Moore of KeyBanc Capital Markets initiates coverage of Crosstex Energy LP (XTEX) with a "buy" rating. The 12-month target price is set to $40.

In a research note published this morning, the analyst mentions that the company has achieved significant growth in overall assets, distributable cash flows and unit value since its IPO in December 2002. Crosstex Energy’s more than $1 billion in asset acquisitions since November last year is expected to enable the company to generate high single-digit distribution growth over the forthcoming two years, the analyst says.