Gabelly Says Buy Scana Corp (SCG)

Gabelli & Co. has a Buy rating on shares of Scana Corp SCG. In a note to clients, Gabelli writes, "We are lowering our 2011 and 2012 EPS estimates to $3.05 and $3.20, from $3.20 and $3.50 respectively, following lower guidance due to the weak service area economy's impact on sales and rate base growth at the existing utility business. The V.C. Summer nuclear development program is proceeding as planned and we expect annual BLRA rate recognition of nuclear investment. Despite the near-term growth revision, we continue to recommend purchase of SCG based on the above-average long-term growth rate from investment in the new nuclear program. 2012 PMV of $49." Shares of SCG closed at $40.57 yesterday.