Boenning & Scattergood Announces Investment Opinion: Initiates Coverage of Connecticut Water Service, Inc. with a Market Outperform Rating.WEST CONSHOHOCKEN, Pa. -- Investment Conclusion: Several initiatives should help Connecticut Water (Nasdaq:CTWS CTWS Confederated Tribes of Warm Springs ) to resume its trend of steady, reliable earnings growth in the years ahead. First, a major 2006 settlement ends a fifteen year rate case hiatus hiatus /hi·a·tus/ (hi-a´tus) [L.] an opening, gap, or cleft.hia´tal aortic hiatus the opening in the diaphragm through which the aorta and thoracic duct pass. for the company's flagship regulated subsidiary, setting the stage for a more regular program of rate filings going forward. Second, the company's newly-appointed CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. brings a wealth of industry experience and a fresh perspective, and is anxious to refocus Verb 1. refocus - focus once again; The physicist refocused the light beam" focus - cause to converge on or toward a central point; "Focus the light on this image" 2. the company on its core regulated business. Finally, acquisitions continue to represent a considerable opportunity with many small, struggling systems in Connecticut seeking an exit strategy, providing a source of customer growth in an otherwise slow-growing territory. As these aspects of the story gain traction, we look for CTWS's valuation discount to diminish and for the shares to trade toward a peer group average valuation. We initiate coverage Initiate coverage (1) Firm is now followed by analysts at a particular securities house; (2) Indication to cover short position by purchasing the underlying stock (this cancels out the short position). of CTWS with a Market Outperform market outperform An analyst recommendation that a stock is expected to outperform the overall market. rating. About Boenning & Scattergood: Founded in 1914, Boenning & Scattergood, Inc. is the oldest independently owned investment securities firm in the Philadelphia region. The firm offers a full compliment of investment services to institutional, retail and corporate clients, including research, sales, trading, investment banking and public finance. For more information, please visit www.boenninginc.com. This release is neither an offer to sell nor a solicitation to buy any securities mentioned herein. Please refer to the full report, which is available upon request, for additional details and disclosures. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion