Market Overview

UPDATE: Morgan Stanley Initiates PetSmart with Overweight on Fast Growth

Related PETM
Morgan Stanley Comments On Target Corporation, Office Depot Inc And Other Hardline & Discount Retailers
Bank Of America Says PetSmart, Inc. 'Increasingly Less Likely To Be Taken Private'
Facing Activist Pressure, PetSmart Reviews Capital Structure (Fox Business)

Morgan Stanley initiates its coverage on PetSmart (NASDAQ: PETM) with an Overweight rating and a price target of $75.

Morgan Stanley says, "We see four drivers of upside to consensus EPS and a bullish view, 1) Stable 3-5% industry growth and PETM modestly increasing share, 2) 7-10% services growth, 3) 100-200 bps of margin leverage from premium/proprietary mix and efficiency, 4) A focus on increasing cash flow and return of capital."

PETM closed at $66.35 on Tuesday.

Latest Ratings for PETM

DateFirmActionFromTo
Sep 2014Bank of AmericaReinstatesUnderperform
Aug 2014BarclaysMaintainsOverweight
Aug 2014UBSMaintainsNeutral

View More Analyst Ratings for PETM
View the Latest Analyst Ratings

Posted-In: Morgan StanleyAnalyst Color Price Target Initiation Intraday Update Analyst Ratings

 

Related Articles (PETM)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters