Sterne Agee Maintains Neutral on Manitowoc Co. (MTW)

Sterne Agee is out with its report today on Mantiowoc Co. MTW, maintaining Neutral. In a note to clients, Sterne Agee writes, "Manitowoc reported 4Q10 revenues and EPS of $831M and $0.11 (adjusted for special items) vs. Sterne Agee and consensus estimates of $894M and $0.05 and $854M and $0.04. Crane revenues of $491M were below our estimate of $499M and the $520M target the company had set itself in mid 2010 (2H10 crane rev>2H09 crane rev). Our $12 Price Target is based on FY2011 EPS of $0.70 and an 18.5X P/E multiple. Excluding outliers, MTW has traded between 10X and 20X forward earnings over the last 10 years, and we believe the improving FoodService business and Crane cycle recovery in FY2012 adequately justify a high P/E multiple." At the time of posting, shares of MTW were trading at $15.75, up 17.27% from yesterday's close.