UPDATE: D.A. Davidson & Co. Reiterates Buy Rating, Lowers PT on KBR as First Quarter Shortfall Dampens Outlook

In a report published Friday, D.A. Davidson & Co. analyst John B. Rogers reiterated a Buy rating on KBR KBR, but lowered the price target from $38.00 to $30.00. In the report, D.A. Davidson & Co. noted, “KBR reported a first quarter loss of $0.29 per share, substantially below our expectations due to project losses and other operating issues. Please see our previous variance report. Errors discovered in the 2013 financial results related to project loss recognition delayed the Q1 report. Additionally, backlog at the end of the quarter slipped further due to low bookings activity, but remains at a relatively high level. Despite the losses, the company continues to maintain a very secure financial position with no debt and substantial cash.” KBR closed on Thursday at $24.46.