NEW YORK (AP) -- Shares of oil refining companies rose on Wednesday after an analyst upgraded several of them.
Evan Calio of Morgan Stanley said positive trends now are similar to those that led to a "Golden Age" of refining from 2004 to 2007, the longest and most profitable period for U.S. refiners in modern history.
Refiners are now seven quarters into a strong period. Calio doesn't expect all refiners to benefit equally. Instead, those that have been cautious about adding to their capacity and those with a larger presence on the Gulf Coast will benefit the most, he wrote.
Calio upgraded Valero Energy Corp. and Phillips 66 to "overweight." Shares of both companies rose, with Valero rising 13 cents to $32.90, while Phillips 66 shares climbed 70 cents to $46.29.
He also raised his rating on Alon USA Energy Inc. to "equal weight." Its shares rose 4 cents to $13.50.
Sunoco Inc. was downgraded to "neutral" because there's more room to rise for the stocks of other refiners, Calio wrote. Its shares rose 4 cents to $47.29.
Shares of Tesoro Corp. were up 16 cents to $40.47, while Marathon Petroleum Corp. rose 22 cents to $53.57. HollyFrontier Corp. was up 2 cents to $40.04.