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Fly News Breaks for December 7, 2015
MCO, KMI
Dec 7, 2015 | 08:55 EDT
UBS noted Kinder Morgan (KMI) announced a review of its dividend policy following the negative outlook by Moody's (MCO). The firm sees several outcomes but said the stock is acting as if it has already cut its dividend and that is a source of pride for the company and the most drastic of scenarios it sees. UBS sees an additional 15% downside if they cut the dividend but believes the shares could trade as a value stock like a utility company as its leverage metrics improve. UBS maintained its Buy rating and $21 price target on Kinder Morgan shares.