Citi Initiates Coverage of Tesoro Logistics with Buy and PT of $28

Citi initiated coverage of Tesoro Logistics (NASDAQ: TLLP) with a Buy rating. At the same time, Citi had set its price target on the company's stock at $28.

In a research report published today, Citi states, "We are initiating coverage of TLLP with a Buy/High Risk rating (1H) and a target price of $28.00. We believe that the partnership should provide investors an attractive total return based on its current yield of 5.5% and our projected distribution growth of 8.9% over the next 12 months."

On Tuesday, Tesoro Logistics added 1.43% to its value to close the day at $24.84.