Market Overview

Jefferies Raises On Assignment PT After Company Analyst Day

Related ASGN
Analysts At BMO Capital Give Investors Their Picks In 4 Sectors
On Assignments Gets Fresh $150 Million Stock Buyback Program
On Assignment (ASGN) Peter T. Dameris on Q2 2016 Results - Earnings Call Transcript (Seeking Alpha)

Analysts at Jefferies on Friday, March 28, 2014, released a new price target regarding On Assignment Inc. (NYSE: ASGN).

Equity analyst Dan Dolev led the research and raised the firm's price target from $39.00 to $42.00. The stock is currently trading at $36.14 per share as of Friday, March 28, 2014. The firm has cited numerous reasons related to its price target decision.

“On Wednesday, ASGN held an Analyst Day in New York to discuss its 5-year financial goals. With a strong #2 position in the disruptive fast growing IT Staffing market, and a recent push into the high margin perm recruiting business, we believe the targets are achievable and even beatable, helped by higher than expected M&A, continuous evaluation of the portfolio, and a strong management track record of delivering on long-term targets. BUY. Raising PT to $42”

Jefferies cited an additional four views that it believes are noteworthy:

• IT Staffing accelerating in 2014 would imply an inflection point as it continues to bifurcate from IT Services. • Perm is good, especially for margins, but could there be too much of a good thing? • Future M&A is important, but pruning is also part of the ASGN story: so how stable is the current portfolio? • The 5-year plan includes $240m revenue contribution from M&A, which seems conservative; it also implies no major economic slowdown.

Jefferies also sees a 15 percent upside to On Assignment.

Shares of On Assignment are up 42.79 percent or $10.83 per share year-to-date.

Latest Ratings for ASGN

Apr 2016Avondale PartnersMaintainsMarket Outperform
Feb 2016Avondale PartnersUpgradesMarket PerformMarket Outperform
Dec 2015Deutsche BankDowngradesBuyHold

View More Analyst Ratings for ASGN
View the Latest Analyst Ratings

Posted-In: Dab Dolev JefferiesAnalyst Color Price Target Analyst Ratings


Related Articles (ASGN)

View Comments and Join the Discussion!