JP Morgan Maintains Overweight, $26 Target on NCR

JP Morgan reiterates its Overweight rating and $26 target price on NCR (NYSE: NCR) as it revises estimates to reflect headwind on European debt crisis.

JP Morgan notes, "Notwithstanding a strong start to 2012, we now expect FS revenues to decline approximately 4% (for both companies) in 2Q11 moderating to zero growth in 3Q. We expect y/y growth to recover in late 2012 assuming that the European debt crisis is contained. Separately, we have trimmed NCR's DVD Kiosk revenues and earnings slightly in 2013, and we have moderated Radiant–related revenue growth in 2H12 (following commentary from Verifone). That said, NCR overall y/y growth benefits in 2012 from the acquisition of Radiant in 3Q11."

NCR closed at $15.73 per share on Monday.