UPDATE: Citigroup Raises PT on Brookfield Infrastructure Partners LP on Matrix Valuation Approach

In a report published Monday, Citigroup analyst Faisel Khan reiterated a Neutral rating on Brookfield Infrastructure Partners LP (NYSE: BIP), and raised the price target from $36.00 to $39.00.

In the report, Citigroup noted, “We maintain our Neutral rating and are increasing our target price to $39 per share based on our matrix valuation approach. We estimate BIP can grow its distribution comfortably by 10% per annum through 2015. Under this scenario, BIP will still generate over $100mm in free cash flow to reinvest in the business and reach a payout ratio of ~65% in 2015. The units appear modestly undervalued at current levels.”

Brookfield Infrastructure Partners LP closed on Friday at $35.67.