UPDATE: Credit Suisse Downgrades Anixter International to Underperform on Soft Datacom
Credit Suisse reduced its rating on Anixter International (NYSE: AXE) from Neutral to Underperform and lowered its price target from $61 to $60.
Credit Suisse noted, "Slowdown to continue in datacom. Although we like the Anixter story longer term, it is important for investors to note that much of the project activity on the enterprise cabling and electric wire side is dependent on capital spending which has a tendency to get pushed out during periods of greater macro uncertainty. Our channel checks suggest datacom projects continue to get pushed to the right at Q3 2012. … We believe AXE is significantly levered to datacenter spend despite the company not specifically breaking this out."
Anixter International closed at $62.19 on Monday.
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Tags: Credit Suisse