UPDATE: Jefferies Downgrades Ball Corporation to Hold on Valuation

Jefferies downgraded Ball Corporation BLL from Buy to Hold and maintained a $49.00 price target. Jefferies commented, "Ball is one of the best managed and highest quality names under our coverage universe, but with the stock outperforming since August 17, 2010 (+61% vs S&P 500: +36%) and trading at (8.0x 2013E EV/EBITDA) a modest premium to its historical average, we believe the stock is fairly valued and downgrading it to a Hold. … Regardless, Ball is a great FCF / capital deployment story, and we would look for a pullback (low $40s) as a re-entry point. We would be more bullish on the stock if demand picked up in the N.A. beverage can market (Alcoa expects flat to down 1%) or the company finds some nice tuck-ins to reaccelerate EBITDA growth." Ball Corporation closed at $46.31 on Thursday.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: Analyst ColorDowngradesPre-Market OutlookAnalyst RatingsJefferies
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!