- EQT Corp. (EQT +12.4%) roars back from yesterday's 10% shellacking that followed its $2.9B cash-and-stock purchase of Alta Resources Development.
- Analysts at Tudor Pickering Holt upgrade EQT shares to Buy from Hold with a $24 price target, citing their forecast for Henry Hub gas to climb toward $3.50/Mcf by year-end 2021 and remain at ~$3.25/Mcf throughout 2022.
- Also, EQT paid a "reasonable price" for Alta Resources to accelerate its strategic objectives, Tudor Pickering says, seeing yesterday's stock selloff as a buying opportunity.
- Offering a different view, CFRA downgrades shares to Hold from Buy, saying the deal implies a price of $9,750/acre, which it calculates to be the company's highest price per acre when compared to prior EQT deals going back to 2017.
- Alta Resources is a strategic and accretive deal that will win EQT a more positive response over time, Josh Young writes in a new bullish analysis published on Seeking Alpha.