UPDATE: Stifel Nicolaus Raises PT to $47 on Computer Sciences Corporation Post Divestiture

Stifel Nicolaus reiterated its Buy rating on Computer Sciences Corporation

and raised its price target from $39 to $47. Stifel Nicolaus said, "Yesterday CSC announced that it had reached an agreement to divest its Credit Services business to Equifax (EFX: Hold, $53.38) for $1bn in cash. … The sale is expected to close by calendar year-end; the after-tax proceeds from the sale are estimated to approximate $750-$800mn. CSC plans to use $300-$400mn for share repurchases and to contribute $300-$400mn toward its unfunded pension obligation ($1.3bn at 3/31/12, with $250mn contribution already earmarked for this year)." Computer Sciences Corporation closed at $39.27 on Monday.