From The Motley Fool, October 2:
Why NextEra Energy Partners Stock Plunged by as Much as 18.4% Today
- A Wells Fargo analyst downgraded NextEra Energy Partners and reduced his price target on the stock from $80 to $33. Rates on U.S. Treasuries rose again Monday.
- When interest rates on debt rise, it makes financing more expensive for asset owners.
- NextEra Energy Partners' dividend yield is now over 13% based on recent guidance.
What happened
Shares of renewable energy asset owner NextEra Energy Partners (NEP -15.35%) plunged by as much as 18.4% in early trading on Monday after an analyst downgraded the stock and rates on U.S. Treasuries rose. Shares were still down 13.7% for the day at 12:35 p.m. ET.So what
Wells Fargo analyst Neil Kalton downgraded NextEra Energy Partners from overweight to equal weight and sliced his price target on the stock from $80 per share to $33 per share....
....MUCH MORE
You have to be careful with these high-yield partnership deals. Have I ever told you about
That Time FT Alphaville's Izabella Kaminska Spotted A Potential Disaster In Natural Gas and Saved Western Civilization?
On the "saved western civilization" bit I may be confusing Ms Kaminska with another Polish name, Sobieski.
And on further reflection it may not have been Western Civ that was saved but rather some fund manager's and analyst's butts and bonuses.
Here's the story.
August 18, 2014 started like any other day, with the question of how to
present oneself to the world: knee breeches or sans-culottes?
Deciding, for the umteenth time the world may not be quite ready for the revival of the eighteenth century aesthetic:
it's pantaloons and out the door, little knowing our fortunes were about to turn very jolly....
