UPDATE: Clarkson Capital Markets Upgrades Tidewater to Outperform
Clarkson Capital Markets has published a research report on Tidewater (NYSE: TDW) and has upgraded the company from Market Perform to Outperform after the recent pullback in shares.
In the report, Clarkson Capital Markets writes, "We are upgrading Tidewater to Outperform from Market-perform as the recent pullback in shares has made the valuation more attractive particularly headed into a point in the cycle where the company should experience high earnings growth. Our revised target price is $58 ($65 previously), which represents 16.8x our FY2013 EPS estimate. We have adjusted our multiples closer to mid-cycle levels, which are roughly in-line with the 5-year historical average. Our target price is derived on a weighted average blend of calendar year 2013 target multiples of 9.0x P/E and 7.0x EV/EBITDA and our DCF valuation of $57."
Clarkson Capital Markets has revised its price target to $58 on Tidewater, which is currently trading up $0.24 from yesterday's $45.74 closing price.
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