D.A. Davidson Sees Substantially Improved Earnings Above Expectations For Comfort Systems

In a report published Friday, D.A. Davidson analyst John B. Rogers reiterated a Neutral rating and $18.00 price target on

. In the report, D.A. Davidson noted, "Reported EPS of $0.29 per share for the fourth quarter included an unusual tax impact that added $0.08 per share. Excluding the tax benefit, adjusted EPS of $0.21 still improved substantially from $0.15 last year and exceeded our estimate of $0.15 and consensus of $0.16. As shown in the attached variance model earnings were driven higher by 8% revenue growth and operating margin expansion (up 150bp) as well as the noted lower tax rate." Comfort Systems closed on Thursday at $16.88.