Nomura Securities Downgrades ServiceMaster (SERV) to Reduce, Sees 14% Downside
- AT&T (T) to Acquire Time Warner (TWX) for $107.50/Share
- Rockwell Collins (COL) in Advanced Talks to Acquire B/E Aerospace (BEAV) - WSJ
- Top 10 News for 10/17 - 10/21: Merger Rumors Abound; CEOs Depart; Tesla Kicks Autopilot Up A Notch
- Wall Street ends little changed; Microsoft hits record
- AT&T (T) in Advanced Talks to Acquire Time Warner (TWX) - DJ
News and research before you hear about it on CNBC and others. Claim your 2-week free trial to StreetInsider Premium here.
Nomura Securities downgraded ServiceMaster (NYSE: SERV) from Neutral to Reduce with a price target of $31.00 (from $36.00), suggesting 14% downside.
Analyst Dan Dolev commented, "At Terminix (pest control), we expect the growth gap to peers to linger - hurt by execution mishaps, debatable M&A strategy/headwinds, and customer/employee attrition. We think the solution is higher-touch service; however, that could hurt margins by 100-200bps. For AHS (home warranty), maintaining growth at elevated levels amid deteriorating customer reviews means marketing increases could be perpetual. AHS growing 5x faster than Terminix dilutes the multiple."
Shares of ServiceMaster closed at $36.16 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Imperial Capital Raises Price Target on Proofpoint (PFPT) Following Strong 3Q Results
- RBC Capital Raises Price Target on Danaher (DHR) Following 'Clean' 3Q Report
- Jefferies Cuts Price Target on Boston Beer Co. (SAM) to $140 Following Weak 3Q
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst PT Change, Downgrades, Hot Downgrades
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!