Morgan Keegan Maintains Outperform on Regency Energy Partners (RGNC)

Morgan Keegan is out with its report today on Regency Energy Partners (NASDAQ: RGNC), maintaining Outperform.

In a note to clients, Morgan Keegan writes, "We believe the JV and acquisition of LDH puts RGNC further down the path to achieve investment grade status. Our target yield range remains 6.25-6.75% yield giving us a valuation range of $29-$31 and price target of $30. Including distributions, we estimate RGNC's 12-month total return outlook at 17-25% supporting our Outperform rating on the units."

Shares of RGNC closed Wednesday at $26.24.