UPDATE: Wunderlich Securities Initiates Buy, $51 PT on Fastenal Company on Initiatives Offsetting Slowdown in Economy
Wunderlich Securities initiates its coverage on Fastenal Company (NASDAQ: FAST) with a Buy rating and a price target of $51.
Wunderlich Securities notes, "While Fastenal currently trades at a substantial premium to peers, we view current levels as in line with historical precedent. We believe Fastenal has an industry-leading employee development/training program, a deep sourcing organization in Asia, and has shown the ability to stealthily re-invent itself the past 10-15 years without interrupting growth. Uniquely within distribution, Fastenal has evolved as a purely organic growth story. Further, unlike its peers, Fastenal's strong post-recession performance has not been aided by product price inflation, potentially a hidden opportunity if the company can capitalize on this gap in future years."
FAST closed at $44.36 on Thursday.
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