UPDATE: D.A. Davidson Reiterates Buy Rating, Raises PT on Rogers Corporation on Arlon Acquisition

In a report published Tuesday, D.A. Davidson analyst Avinash Kant reiterated a Buy rating on

, and raised the price target from $87.00 to $93.00. In the report, D.A. Davidson noted, “We are conservatively assuming that the Arlon acquisition gets completed by the end of Q2:CY15 and are adjusting our estimates based on the historical performance of Arlon (without adding much for synergies). Our CY15 and CY16 estimates for ROG move up from $3.40 on $635 million and $3.85 on $660 million to $3.72 on $682 million and $4.55 on $750 million, respectively. We arrive at our updated price target of $93 (old $87) by applying a 20x multiple to our CY16 EPS estimate of $4.55 and adding our post acquisition net cash per share estimate of $1.50. We maintain our BUY rating on this stock.” Rogers Corporation closed on Monday at $80.62.