Bank of America Corp (NYSE: BAC) Begins Coverage on CenterPoint (NYSE: CNP)

Bank of America Corp (NYSE: BAC)’s Merrill Lynch division reinstated coverage on share of CenterPoint with a “buy” rating and a $17.00 price target in a research note to investors on Monday. The analysts said that the company has a good long term strategy which is driven by expansion projects and utilities.

CenterPoint Energy, Inc. is a public utility holding company. The Company’s indirect wholly owned subsidiaries include CenterPoint Energy Houston Electric, LLC (CenterPoint Houston), which engages in the electric transmission and distribution business in a 5,000-square mile area of the Texas Gulf Coast that includes Houston, and CenterPoint Energy Resources Corp. (CERC Corp.), which owns and operates natural gas distribution systems in six states. Subsidiaries of CERC Corp. own interstate natural gas pipelines and gas gathering systems, and provide various ancillary services. A wholly owned subsidiary of CERC Corp. offers variable and fixed-price physical natural gas supplies primarily to commercial and industrial customers and electric and gas utilities. The Company’s operating segments include Electric Transmission & Distribution, Natural Gas Distribution, Competitive Natural Gas Sales and Services, Interstate Pipelines, Field Services and Other Operations.

Shares of CNP traded flat at $14.50 during mid-day trading on Monday. The company has a 52-week range of $14.29 to $14.59 and a market cap of $6.11 billion.