According to Canaccord, no major changes were made to their fundamental opinion for the fluid handling segment of the company. The analysts restate their Held rating on the stock with a price target of $60, citing uncertainty in the near-term outlook for oil prices and the outlook for the core valve business.
Canaccord still expects to see a stock re-rating, as investors gain better understanding of the company's payment and merchandising segment and value the fact that this segment combined with aerospace & electronics, constitutes an estimated 55 percent of the sales and more than 60 percent of operating income.
"Granted, the mix of profits will shift back to FH as that segment recovers, but we believe the higher than company segment margins for the PMT and A&E segments will translate to a higher valuation over the cycle." wrote Canaccord.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.