CAM Posts Strong 2Q, Estimates Raised By Dahlman

Cameron International

posted 2Q EPS of $0.58, $0.01 above Dahlman Rose's estimate and cites North America as the key driver for 2Q, where surface systems and distributed valve results were strong and offset the realization of lower margin backlog from 2009 in the Valves & Measurement segment, according to Dahlman. New orders were up 50% q/q, and CAM has raised 3Q EPS guidance to $0.58-0.60, and for 2010 to $2.30-2.35 from $2.20-2.30. V&M may see lower margins this year compared to 2009, but 2011 may prove very strong. Dahlman maintains its "buy" rating and price target at $62. Cameron International closed yesterday at $38.98.