UPDATE: Compass Point Upgrades Standard Pacific Homes to Buy on Earnings Visibility
Compass Point upgraded Standard Pacific Homes (NYSE: SPF) from Neutral to Buy and raised the price target from $7.25 to $10.25.
Compass Point said, "The past several quarters have provided increased clarity into SPF's earnings power, the extent of the housing recovery, and the high expectations for growth embedded in current valuation levels. SPF operates in markets that have been the primary beneficiaries of the housing rebound in 2012 and caters to higher ASP buyers that are less affected by tight mortgage credit than lower price point buyers and first time home buyers. While there is still significant implied dilution from the convertible preferred shares, we believe the company's growth potential implied in our 2014 EPS estimate warrants another $2/share of upside from the current stock price."
Standard Pacific Homes closed at $10.25 on Monday.
Latest Ratings for SPF
|Nov 2014||Bank of America||Downgrades||Buy||Neutral|
|Oct 2014||Compass Point||Maintains||Buy|
|Sep 2014||JP Morgan||Downgrades||Neutral||Underweight|
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