UPDATE: Piper Jaffray Raises PT to $68 on Lindsay Corporation on Quick Movable Barrier Recovery
Piper Jaffray reiterates its Neutral rating on Lindsay Corporation (NYSE: LNN) and raises its price target from $64 to $68.
Piper Jaffray comments, "Along with a 3Q EPS beat driven by better-than-expected gross margins, LNN shares gained on hopes of a recovery in the high-margin Quick Movable Barrier (QMB) business and deferred irrigation orders in China. We are lifting our estimates to reflect these factors but continue to believe that LNN shares are fairly valued. Reported backlog is essentially flat to last year and implied new orders in the quarter declined slightly – the first such contraction in 10 quarters. While $6+ corn has the potential to spur order activity, we are concerned that the backlog/order activity may portend weaker growth in the coming quarters."
LNN closed at $61.89 on Wednesday.
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