Piper Jaffray Upgrades Patterson Companies (PDCO) to Overweight

Piper Jaffray upgraded Patterson Companies (NASDAQ: PDCO) from Neutral to Overweight with a price target of $54.00 (from $48.00), saying the pullback crates a buying opportunity.

Analyst Kevin K. Ellich commented, "We are upgrading PDCO to Overweight and raising our PT to $54 (from $48) as we believe the Animal Health International acquisition is a driver of upside to Street estimates and disappointing dental equipment growth will reverse over the next couple of quarters."

He added, "We believe the company's strategic realignment of its business segments will enable management to focus its time and energy on performance and driving shareholder value through disciplined capital allocation. As PDCO delevers following completion of the Medical business divestiture in FQ2, we expect to see greater capital deployment for share repurchases and potential expansion in the international dental market."

The firm adjusted FY 2016 EPS from $2.45 to $2.44 and FY 2017 EPS from $2.66 to $2.83.

For an analyst ratings summary and ratings history on Patterson Companies click here. For more ratings news on Patterson Companies click here.

Shares of Patterson Companies closed at $45.94 yesterday.

You May Also Be Interested In

• Keefe, Bruyette & Woods Upgrades Trustmark (TRMK) to Outperform
• Boston Scientific (BSX) PT Raised to $77 at Oppenheimer
• CONMED (CNMD) PT Lowered to $95 at Piper Sandler