UPDATE: ISI Group Initiates Underweight, $165 PT on Mettler-Toledo on China Medium-Term Challenges
ISI Group initiated its coverage on Mettler Toledo (NYSE: MTD) with an Underweight rating and a price target of $165.
ISI Group said, "We are initiating coverage on shares of Mettler-Toledo with an Underweight rating and a price target of $165.00, which on a forward basis equates to ~11x EV/EBITDA and ~15x operating EPS. Our thesis for MTD is based on constrained industrial sales over the medium-term given challenges in China and the EU, relatively robust lab sales given opportunities in emerging markets, strong new product momentum, and our contention that current valuation does not reflect more moderate top-line expectations causing an unfavorable risk-reward ratio."
Mettler-Toledo closed at $154.42 on Monday.
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