UPDATE: Oppenheimer Raises PT to $63 on Graco on Improved Contractor Outlook

Oppenheimer maintained Graco

at Outperform and raised the price target from $56.00 to $63.00. Oppenheimer noted, "GGG reported 4Q12 adj. EPS of $0.69, excluding $0.01 attributable to acq/div-related costs, exceeding our/consensus $0.58/0.60 estimates. Primary drivers of the outperformance were improved Contractor sales (volume & price boosting earnings over 70% y/y) and a lower tax rate. Industrial Americas continues to experience broad-based strength while outlooks in Europe and Asia slightly offset. Net net, we remain positive on GGG shares given successful execution in market penetration and improving plant efficiencies, its attractive organic growth profile buoyed by exposure to construction markets, and high-returns profile." Graco closed at $58.02 on Tuesday.