UPDATE: D.A. Davidson & Co. Initiates Coverage on Erickson Air-Crane
According to a research report published this morning, D.A. Davidson & Co. has initiated Erickson Air-Crane (NASDAQ: EAC) with a Buy rating and $10 PT.
In the report, D.A. Davidson & Co. commented, "The main catalyst for growth is the sale of additional AirCranes manufactured by the company. We estimate each additional sale contributes ~$30 million in sales and $10 million in operating income. Currently, the company has one Air-Crane under a non-binding letter of intent. We see the signing of additional deals and the building of a manufacturing backlog as a major catalyst for the stock. The market for the Air-Crane appears to be roughly 2-4 per year based on sales of a competing aircraft model."
Erickson Air-Crane is currently trading at $7.20.
Latest Ratings for EAC
|Jun 2015||Imperial Capital||Upgrades||In-line||Outperform|
|May 2015||Canaccord Genuity||Maintains||Hold|
|Nov 2014||Canaccord Genuity||Maintains||Hold|
© 2015 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.