EQT Corp. (EQT -0.3%) is upgraded to Buy from Hold with an $87 price target at Stifel, citing the company's high-quality asset base, industry-leading balance sheet and valuable and growing midstream platform,

After backing out the value of EQT GP Holdings (NYSE:EQGP), Stifel estimates that EQT trades at 8.4x 2017 EBITDA, an 18% discount to its Appalachian peers.

The firm says it new $87/share target assumes that EQT's E&P assets trade in line with its Appalachian peer group at ~10x.