Pivotal Research Starts Balchem (BCPC) at Buy

Pivotal Research initiated coverage on Balchem (NASDAQ: BCPC) with a Buy rating and a price target of $78.00.

Analyst Timothy S. Ramey said, "Balchem Corporation is an attractive growth company supplying ingredients, technology and products to the human and animal nutrition markets. It is very well positioned to grow – likely in double digits in all of its three segments – with strong margins and high returns. The balance sheet is relatively clean with net-debt-to-EBITDA of 2.3x. At $2 billion in market capitalization it is large enough to be interesting but small enough to not well understood. Its products generally possess strong performance and sensory benefits to BCPC’s customers. In its ruminant feed and monogastric markets its animal feed adjuvants have valuable performance benefits to farmers. It charges premium prices and generates an operating margin north of 20% and an EBITDA margin of nearly 27%."

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

Shares of Balchem closed at $64.61 yesterday.

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