OSI Upgraded To Outperform (Nasdaq: OSIS)
February 26, 2010 11:03 AM
Shares of OSI Systems, Inc. (NASDAQ: OSIS) are up 5.12% today to $30.81 after analysts at Morgan Keegan upgraded the stock from Market Perform to Outperform. The new price target is a range of between $36 and $40 per share based on the EPS estimates.
Lead analyst on the project, Brian W. Rutternbur, explains "OSI has been striving to improve working capital management, focusing on DSOs in FY 2009 and inventory turns in FY 2010, and management believes there is more room for improvement. Cash flow is expected to be solid in the near term, and the company is expected to have a similar amount of debt and cash by the end of the March quarter. In FY 2010, revenue is expected to be broken down approximately 40% from Security, 32% from Healthcare, and 28% from Optoelectronics."
