J.P. Morgan Reiterates Overweight Rating, $62 PT on Jarden Corporation on 2013 Guidance
In a report published Friday, J.P. Morgan reiterated its Overweight rating and $62.00 price target on Jarden Corporation (NYSE: JAH).
J.P. Morgan noted, “Although the stock's valuation has moved up from its lows, we still find it compelling, and don't think the market fully appreciates the company's transition from a roll-up to an operator, focused on generating sustainable top line growth, margin expansion, and returning more cash to the shareholders. While the company's discretionary and seasonal product base makes it more susceptible to the macro-backdrop and weather patterns, we believe that its focus on innovation, cross-selling opportunities, and further geographic expansion should help it deliver organic sales growth in the low-mid-singe digit range over the next several years. With the lowest operating margins in the group, we think there is plenty of opportunity for margin expansion, which should drive double-digit EPS growth and multiple-expansion from current levels.”
Jarden Corporation closed on Thursday at $58.96.
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