Jefferies Reiterates Buy on Newell Rubbermaid (NWL) After Meeting with Management
- Wall St. set to open lower, weighed down by GE
- British American Tobacco Offers to Acquire Remaining Shares of Reynolds American (RAI) for $56.50/Share
- General Electric (GE) Tops Q3 EPS by 2c; Updates FY16 EPS Outlook
- Pre-Open Stock Movers 10/21: (ALKS) (RAI) (PFPT) (MSFT) Higher; (SGY) (TWLO) (RRGB) Lower (more...)
- Oil rises on Russia's output freeze commitment
Get the Pulse of the Market with StreetInsider.com's Pulse Picks. Get your Free Trial here.
Jefferies maintained a Buy rating and $66.00 price target on Newell Rubbermaid (NYSE: NWL) after meeting with management. Jefferies is expecting the company to make cuts to its portfolio ahead of the 3Q release, and is sees a potential $0.10 EPS dilution as manageable. Management has not specified which businesses will be cut. However, the Tools and Process Solutions businesses are low-hanging fruit.
Analyst Kevin Grundy commented, "NWL remains one of our top picks following upbeat mgmt. meetings yesterday. The biz continues to perform well and the JAH integration remains on track, keeping us very positive on risk-reward. Portfolio pruning announcement is likely ahead of 3Q earnings and we see potential EPS dilution of ~$0.10 as manageable (or even fully offset), and far less consequential than strategic merits, margin accretion, and benefit to multiple. Buy, $66 PT, a top pick."
Shares of Newell Rubbermaid closed at $52.25 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Jefferies Cuts Price Target on Boston Beer Co. (SAM) to $140 Following Weak 3Q
- Jefferies Cuts Price Target on Crown Holdings (CCK) Following 3Q
- Jefferies Cuts Price Target on Reliance Steel (RS) Following 3Q EPS Miss and Guidance
Create E-mail Alert Related CategoriesAnalyst Comments
Related EntitiesJefferies & Co, Earnings
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!