UPDATE: Jefferies Upgrades Woodward to Buy as Energy End Markets Margins Set To Expand

In a report published on Tuesday, Jefferies analyst Sheila Kahyaoglu Upgraded Woodward WWD from Hold to Buy and raised the price target from $38 to $47.

In the report, Jefferies stated, "We are assuming coverage of Woodward and are upgrading the shares to BUY for the following reasons: 1) increased visibility and growth in Commercial Aerospace; 2) we believe energy expectations now reflect reality; 3) Operating margins appear to have reached an inflection point; 4) The current share price implies the Aerospace segment is trading at a 30% discount to peers."

Woodward closed on Friday at $39.15.