Market Overview

UPDATE: BMO Capital Markets Reiterates Market Perform Rating, Raises PT on Energizer Holdings

Related ENR
Jefferies Upgrades Energizer, Sees 'Limited Downside'
UPDATE: BTIG Research Initiates Coverage On Energizer Holdings As Positive Factors Are Already Reflected In Valuation
Energizer Holdings (ENR) Q1 2015 Results - Earnings Call Webcast (Seeking Alpha)

In a report published Wednesday, BMO Capital Markets reiterated its Market Perform rating on Energizer Holdings (NYSE: ENR), and raised its price target from $78.00 to $83.00.

BMO Capital noted, “ENR's restructuring plan is bigger than we'd expected as it seeks a leanercost profile in the decelerating battery category. Estimated costs of $215-$245 million should produce pretax savings of $175-$200 million; ENR expects to drop 70%-80% of the savings to earnings (implying EPS of $1.50) and to reinvest the balance. After a modest impact in FY2H13, the EPS benefit should build in FY2014 and be fully realized in FY2015. ENR changed compensation, adding three new long-term metrics (cumulativeEBITDA, ROIC, and relative TSR); short-term metrics include adjusted EPS, operating profit, cost savings, and working capital as a percentage of sales. ENR also reaffirmed FY2012 EPS of $6.00-$6.20. Details will be provided on the 4Q call on November 9. We like the breadth of the plan, but will wait for a better opportunity as there is very little growth until 2HFY2013.”

Energizer Holdings closed on Tuesday at $75.22.

Latest Ratings for ENR

Jan 2015JefferiesUpgradesHoldBuy
Dec 2014Bank of AmericaMaintainsBuy
Nov 2014BTIG ResearchInitiates Coverage onNeutral

View More Analyst Ratings for ENR
View the Latest Analyst Ratings

Posted-In: BMO Capital MarketsAnalyst Color Price Target Analyst Ratings


Related Articles (ENR)

Around the Web, We're Loving...

Get Benzinga's Newsletters