UPDATE: Macquarie Downgraded McDermott to Underperform
Macquarie analyst Nigel Browne downgraded McDermott International Inc. (NYSE: MDR) from Outperform to Underperform and lowered the PT from $9 to $7.50 after the announcement of the CEO succession.
The analyst commented that although a new CEO is "a step in the right direction," it creates near-term uncertainty. Browne noted that the possible appointment of Technip's David Dickson would reduce the odds that McDermott will be liquidated due to "social friction."
On Tuesday, HSBC downgraded McDermott from Neutral to Underweight. The average PT among analyst is $8.30. Shares of MDR closed at 7.50 on Thursday and is currently +2.11%.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.