UPDATE: Oppenheimer Initiates Coverage on Spectrum Brands on Interesting Investment Opportunity
In a report published Wednesday, Oppenheimer analyst Ian Zaffino initiated coverage on Spectrum Brands Holdings (NYSE: SPB) with an Outperform rating and $82.00 price target.
In the report, Oppenheimer noted, “Relatively underfollowed with a well-incentivized management team and a meaningful FCF ramp (10.9% CY15 FCF yield), SPB represents an interesting investment opportunity. The company recently restructured two business lines, acquired a fast growing, high-margin lockset business and refinanced expensive debt. Initiate with Outperform and $82 price target, based on 13.4x CY15E earnings, which is at a discount to its consumer staples peers.”
Spectrum Brands Holdings closed on Tuesday at $63.40.
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