Monday, August 2, 2010

Citigroup (NYSE:C) Downgrades DTE Energy (NYSE:DTE)

Citigroup Inc. (NYSE:C) announced Friday it had downgraded DTE Energy Co. (NYSE:DTE) from "Buy" to "Hold," based mostly on valuation.

Analyst Brian Chin said, it was mostly "predicated on valuation and to a lesser extent outperformance YTD." The company has gained 10 percent this year, outpacing the broader market.

Chin added, "We prefer Buy rated PCG among defensives. Our 12 month investment horizon target is unchanged at $50."

Earning per share for the company in the last quarter were $86 million, or 51 cents share, significantly missing analysts' estimates of 60 cents a share.

DTE got clobbered on Friday, plunging to $46.16 at close, a drop of $2 on the day, or 4.15 percent.

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