Lower Than Expected Guidance For MSC Industrial Direct Co. (MSM)
BB&T Capital Markets maintained a Buy rating for MSC Industrial Direct Co. (NYSE: MSM) with a price target of $54.
The firm views the earnings release as a disappointment, given the lower than anticipated guidance. It believes the sales progress to be fine, although the costs are more than anticipated. Despite this headwind, the firm views MSC Industrial to be the distributor with the most to gain from increases in industrial production. Based on lower than expected guidance and higher SG&A costs, the firm lowered the FY’10 EPS forecast to $2.00 from $2.10.
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.