UBS Raises Price Target on Rockwell Automation (ROK) to $136

November 8, 2016 8:55 AM EST
Get Alerts ROK Hot Sheet
Price: $140.56 +0.40%

Rating Summary:
    6 Buy, 21 Hold, 3 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 30 | Down: 30 | New: 23
Trade ROK Now!
Join SI Premium – FREE

Get inside Wall Street with StreetInsider Premium. Claim your 2-week free trial here.

UBS reiterated a Buy rating on Rockwell Automation (NYSE: ROK), and raised the price target to $136.00 (from $125.00), following the company's 4Q earnings report. ROK reported EPS of $1.52, above $1.49 consensus estimate. Organic sales declined 4% (vs. our -5% estimate) with A&S up 1.4% and CP&S down 8%. 2017 adjusted EPS was guided to $5.85-$6.25 (vs. consensus of $5.98) on organic sales growth 0-4%.

Analyst Shannon O'Callaghan commented, "F4Q16 EPS of $1.52 was below our $1.54 estimate and above $1.49 consensus, but ROK executed $10M of unplanned restructuring ($20M vs $10M guide) without which we estimate 4Q EPS would have been $0.06 higher. ROK expects the $20M of restructuring to benefit F2017 by $30M and $40M+ in total; 2017 restructuring is now expected to be ~$15M lower. A&S margins of 25.8% (vs. our 27.5%) would have been 27.3% without the higher restructuring. CP&S missed us by $0.01. Lower tax (+$0.07) from more favorable geographic mix was partially offset by higher corporate (-$0.03)."

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

Shares of Rockwell Automation closed at $124.24 yesterday.

Serious News for Serious Traders! Try Premium Free!

You May Also Be Interested In

Related Categories

Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change

Related Entities

UBS, Earnings

Add Your Comment