Williams (WMB) recent share price "pullback" offers an "attractive entry point," with Q3 earnings on Nov. 2, expected to benefit from the earlier-than-expected closing of the Momentum Midstream acquisition, RBC Capital Markets said in a Tuesday note.

The firm raised the company's Q3 adjusted EBITDA estimate to $2.04 billion from $2.01 billion, primarily reflecting the Momentum acquisition closing in "early September," which is expected to contribute about $40 million in the quarter, the report said.

According to the note, a new "Power Innovation project" announcement before year-end could be a catalyst for the shares, with Williams expected to announce "at least one" additional project that could include a new counterparty and a 15- to 20-year contract.

RBC reiterated an outperform rating on Williams with a price target of $87, saying the company remains "best positioned" to benefit from growing natural gas demand and its backlog of growth projects.

Price: 71.73, Change: +0.92, Percent Change: +1.30