Bank of America Merrill Lynch Reiterates Buy on CenterPoint Energy

Bank of America Merrill Lynch is out with its report today on CenterPoint Energy CNP, reiterating Buy. In its report, Bank of America Merrill Lynch writes, "We met with CNP management in Houston. Management provided an update on key issues with the true-up, an update on proceeds timing and a use of cash that will include a stock buyback at least in the range of $200-$400M. In addition, management expects to announce a decision on whether or not they want to do an MLP early next year. We continue to see value in CNP given our view that the stock is largely only pricing in value for cash on hand from the true-up proceeds. Reit Buy." Bank of America Merrill Lynch maintains a $21 PO on CNP. Shares of CNP closed Tuesday at $19.88.