UPDATE: Deutsche Bank Reiterates Buy Rating, Raises PT on Ashland

In a report published Wednesday, Deutsche Bank reiterated its Buy rating on Ashland

, and raised its price target from $85.00 to $90.00. Deutsche Bank noted, “Ashland shares rose 3.5% following an upbeat investor meeting as a confident management team re-affirmed its 2014 EPS target of $9.50-$10.50 (cons: $8.94), quantified the guar benefit in 2012 ($0.53, or 8% of '12 EPS) and noted a rebound in Specialty Ingredients November sales following a lower than expected October (guar, Sandy). While we believe achieving the '14 target will be a challenge, our upwardly revised ‘14E EPS of $9.00 begins to reflect some of the improvement in Water Technologies and Valvoline that Ashland needs to deliver in order to meet its '14 EPS target. With valuation a compelling 9.7x 2013E EPS vs 13.2x for specialty chemical peers, we reiterate our Buy rating.” Ashland closed on Tuesday at $72.90.