Citi opens ‘downside 30-day short-term view’ on Kinetik Holdings

Citi analyst Spiro Dounis adds a “downside 30-day short-term view” on shares of Kinetik Holdings (KNTK) while keeping a Buy rating on the name with a $55 price target The firm believes two events tied to the Durango acquisition could represent a short-term overhang. Up to 11.5M shares could come to market due to the lockup expiration on June 24 and deferred compensation of July 1, representing 7% of the total shares outstanding, the analyst tells investors in a research note. Citi estimates these shares, if monetized, would take over nine days to be absorbed by the market based on 30 day average volume levels. The firm continues to see “compelling upside longer term,” but believes Kinetik could be range-bound over the next month due to the potential for more equity to come to market.

Confident Investing Starts Here:

• Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions

• Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter

Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>

See today’s best-performing stocks on TipRanks >>

Read More on KNTK:

Disclaimer & DisclosureReport an Issue

• Kinetik Holdings price target raised to $57 from $54 at Scotiabank

• Kinetik Holdings 4.3M share Block Trade priced at $44.40

• Kinetik Holdings 4.26M share Block Trade; price range $44.40-$45.65

• Kinetik Secures $2.75 Billion Credit Agreements

• Kinetik Holdings price target lowered to $55 from $57 at RBC Capital