UPDATE: Credit Suisse Reinstates Coverage on United Technologies Corporation with Outperform Rating, $93 PT
In a report published Friday, Credit Suisse Group reinstated its coverage on United Technologies Corporation (NYSE: UTX) with an Outperform rating and $93.00 price target.
Credit Suisse noted, “We think that capital allocation, cost-reduction at GR and CCS, and Otis share recovery offer interesting levers for the company to pull in 2013, and will help offset a sluggish macro environment. UTX has suffered from being viewed as a "non-US play" given its high international exposure. Since our China trip in November we have thought investor sentiment here should reverse. We also think long-cycle industrials offer a better risk/reward than short-cycle, given recent performance. Aside from the tailwind to CCS/Otis in Asia, organic growth should improve (to +4% in '13 vs 0% in '12) helped by U.S. housing trends, stabilization in Otis Europe AM, a sharp recovery in Transicold orders, and a normalization in Aerospace Systems/Pratt commercial AM.”
United Technologies Corporation closed on Thursday at $84.31.
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