JPMorgan upgraded Southwest Gas to Overweight from Neutral with a $100 price target. The company has successfully transformed into a pure-play, fully regulated natural gas business with "visible growth tailwinds," the analyst tells investors in a research note. The firm says a 8-times oversubscribed Great Basin open season and dual general rate case filings in Arizona and Nevada can drive upside to the company's 12%-14% earnings growth outlook. The Southwest Gas share setup is compelling relative to the stock's current valuation, contends JPMorgan.
