Shares of NextEra Energy Partners recovered slightly on Thursday after it said a day earlier that it was cutting its long-term growth forecast, resulting in two analyst downgrades.
The company slashed its limited partner distribution per unit growth rate to a target of 5% to 8% from its prior goal of 12% to 15%, citing tighter monetary policy and higher interest rates.
In response, JPMorgan analysts lowered their rating from ‘Overweight’ to ‘Neutral’ and slashed their price target from US$69 to US$40, while analysts at Oppenheimer downgraded it from ‘Outperform’ to ‘Perform.’
NextEra Energy Partners shares were up 1% at US$30.85, after closing down 18.5% on Wednesday.
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