Crosstex shares soar as analyst upgrades stock

Crosstex Energy shares soar as analyst upgrades stock on price, outlook

• On 3:44 pm EDT, Tuesday September 22, 2009

NEW YORK (AP) -- Shares of natural gas company Crosstex Energy LP jumped on Tuesday as an analyst upgraded the stock on its attractive stock price and greater confidence in its outlook.

Crosstex shares climbed 55 cents, or 12.2 percent, to $5.05 in afternoon trading. The shares hit a 12-month peak of $22.38 last September, and have steadily declined since. They slid to a 52-week low of $1.17 in March. Since then, shares have slowly inched up to their current levels, but are still nearly 80 off their annual high.

Morgan Keegan analyst John Edwards upgraded the company's stock to "Outperform" from "Market Perform." Edwards said conversations with Crosstex management boosted his confidence in the company's outlook.

With shares hovering around $5, Keegan urged risk-tolerant, aggressive investors to buy up the cheaply-priced stock. Edwards cautioned investors that the stock is still exposed to a high degree of risk, given its high levels of debt.