Could AES Acquisition Change EQT Corporation's (EQT) Future Prospects?

EQT Corporation (NYSE:EQT) is one of the 10 undervalued growth stocks for the next 5 years. According to a Bloomberg report released on February 3, BlackRock’s Global Infrastructure Partners (PIG) has joined forces with EQT Corporation (NYSE:EQT) in a potential bid to acquire power producer AES Corporation. AES operates as a supplier of renewable electricity to the large technology companies.

People familiar with the matter said that the two investment firms could finalize an agreement to buy AES within the next few weeks. However, no final decision has been made, the talks remain ongoing, and there is still a chance that the discussions could take longer or fail to result in a deal. According to Bloomberg reports from last year, AES had been considering strategic options, including a potential sale, after drawing takeover interest from infrastructure investors, including GIP.

Scott Hanold, an analyst at RBC Capital, reaffirmed a Hold rating on EQT Corporation (NYSE:EQT) along with the price target of $62 on January 30. The firm’s price target reflects a further 11.6% upside from the current levels.

EQT Corporation (NYSE:EQT) is involved in transportation, gathering, and production of natural gas. It sells natural gas liquids and natural gas to utilities, marketers, and industrial customers across the  Appalachian Basin. The company offers contractual pipeline capacity management services and marketing services.

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Disclosure: None. This article is originally published at Insider Monkey.