UPDATE: Goldman Sachs Reduces PT to $77 on Waters Corporation on Guidance Concerns
Goldman Sachs reiterated its Neutral rating on Waters Corporation (NYSE: WAT) and lowered its price target from $79 to $77.
Goldman Sachs noted, "We maintain our Neutral rating, as we do not view 4Q guidance as sufficiently conservative. Our conversation with management following the call suggests the company expects 3Q trends to remain intact during 4Q. However, we are more cautious on 4Q given our view that resolution to sequestration is unlikely to emerge until 1Q13 at the soonest. … Our 12-month price target of $77 (from $79) is based on our updated estimates and equal weighted P/E (14.5X) and EV/EBITDA (10.5X) multiples."
Waters Corporation closed at $78.89 on Tuesday.
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