Bank of America Provides Color on Air Products, Buy

Bank of America provided color on Air Products APD. In a research report published today, Bank of America listed the company's strength and weaknesses ahead of a meeting with the company's senior management. In the report, Bank of America states, "We believe there is much to like at Air Products, including (1) a refocused management team in the wake of Air Products' unsuccessful bid for Airgas; (2) elevated crude oil prices; (3) higher demand for hydrogen given wider light-heavy oil spreads; and (4) 30% of sales exposed to Europe with the euro at $1.46." Bank of America also named possible risks to its projections. The report states, "Risks to our stance are potential for (1) a cyclical downturn in electronics (15% of sales), (2) escalation of competitive intensity in China and (3) any strengthening of the USD." At the moment, Bank of America has a Buy rating and a price target of $107 on the company's stock. On Monday, Air Products closed at $89.61.