UPDATE: Credit Suisse Downgrades Emerson (EMR) to Neutral
- Top 10 News for 10/24 - 10/28: AT&T (T), Time Warner Make it Official; Margins Hamper Apple's Q4; Mergers Aplenty
- Wall St. falls as FBI to review more Clinton emails
- Clinton email problem resurfaces as FBI announces review
- ExxonMobil (XOM) Tops Q3 EPS by 5c; CapEx Light of Views
- Baker Hughes (BHI), General Electric (GE) in Partnership Talks, Not Merger Talks
Get the Pulse of the Market with StreetInsider.com's Pulse Picks. Get your Free Trial here.
(Updated - August 19, 2016 10:48 AM EDT)
Credit Suisse downgraded Emerson (NYSE: EMR) from Outperform to Neutral with a price target of $57 (unchanged). The change follows news it will acquire Pentair’s Valves & Controls business for $3.15 billion. Analyst Julian Mitchell said he sees few catalysts.
"Our TP remains $57, and our EPS estimates (on the current EMR basis) are unchanged; we show inside our pro forma forecasts including PNR V&C. While we think the deal has solid strategic logic, EMR has now unveiled many of the strategic moves which we anticipated in our report in April 2015 (‘Accelerated strategic change’), and the stock is now close to our TP. Following the plethora of recent portfolio announcements from the company, the relative paucity of upcoming catalysts (we do not expect further large imminent acquisitions or divestments), and the stock’s valuation multiple recovery YTD, we view the risk/reward as fairly balanced," said Mitchell.
Shares of Emerson closed at $54.67 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Leerink Partners Downgrades McKesson (MCK) to Market Perform
- FBR Capital Cuts Price Target on Government Properties Income Trust (GOV) to $25
- Leerink Partners Cuts Price Target on Conmed (CNMD) to $43; Reiterates Market Perform
Create E-mail Alert Related CategoriesAnalyst Comments, Downgrades
Related EntitiesCredit Suisse, Definitive Agreement
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!