Needham & Company Upgrades JAKKS Pacific (JAKK) to Buy
- Top 10 News for 03/23 - 03/27: Kraft/Heinz Mega Food Merger, SanDisk Warns, Biotech Bubblicious
- Intel (INTC) in Talks to Buy Altera Corp (ALTR) - WSJ
- Dow Chemical (DOW) to Separate Chlor-Alkali Unit, Merge it with Olin (OLN)
- UPDATE: BlackBerry (BBRY) Posts Q4 adj.-EPS of 4c
- Unusual 11 Mid-Day Movers 03/27: Higher GBSN, OLN, OXM; Lower OHRP, MOLG, APDN (more...)
Needham & Company upgraded JAKKS Pacific (NASDAQ: JAKK) from Hold to Buy with a price target of $10.00.
Analyst Sean McGowan comments, "We are raising our sales and EPS estimates for JAKK and raising our rating from Hold to Buy, based on our belief that the company's sales momentum is accelerating, leading to higher profit margins. The company's recently completed offering of $100mm in convertible notes does result in significant dilution, but it also strengthens JAKK's financial position. After accounting for our higher operating forecasts, net of the dilution, our EPS estimates are modestly higher for 2014, 2015 and 2016. We believe the stock could trade up to $10 over the next year, based on fairly conservatives valuation assumptions."
The firm raised FY 2014 EPS from $0.60 to $0.65 and FY 2015 EPS from $0.65 to $0.70.
Shares of JAKKS Pacific closed at $7.31 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Piper Jaffray Upgrades Kirkland's (KIRK) to Overweight
- UPDATE: Goldman Sachs Upgrades Bunge (BG) to Buy
- Drone Momentum to Benefit Ambarella (AMBA), Chardan Capital Says; Buy on Pullback
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS Change, Upgrades
Related EntitiesNeedham & Company
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!