Lindsay Corp (LNN) Estimates, PT Cut at Piper Jaffray on Weaker Domestic and International Pivot Demand

Piper Jaffray analyst Brett Wong cut estimates and his price target on Lindsay Corporation (NYSE: LNN) to $67.00 (from $71.00), saying checks point to weaker domestic and international pivot demand. The firm maintained an Underweight rating.

Wong commented, "We are adjusting our estimates following negative commentary from domestic and international irrigation dealers, suggesting that pivot demand, specifically international, is worse than we previously expected. Dealers commented EMEA pivot sales in 2015 could be down in the mid-teens y/y with expectations that 2016 could remain weak with the uncertainty of an ag recovery likely postponing farmer purchases until more profitable growing conditions return. We also see potential downside to our below consensus estimates with a more pronounced decline in domestic demand. We are now including Elecsys in our model. We are lowering our target to $67 and believe soft irrigation demand resulting in downward earnings revisions will pressure the multiple."

The firm cut FY 2015 EPS from $3.71 to $3.31 and FY 2016 EPS from $4.07 to $3.73.

For an analyst ratings summary and ratings history on Lindsay Corporation click here. For more ratings news on Lindsay Corporation click here.

Shares of Lindsay Corporation closed at $87.14 yesterday.

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