Lindsay (LNN) PT, Estimates Lowered at Piper Jaffray

Piper Jaffray analyst Brett Wong lowered estimates and his price target on Underweight-rated Lindsay Corporation (NYSE: LNN) to $65.00 (from $67.00) following Q2 results.

Wong commented, "We are adjusting our model and revising our price target following lower than expected irrigation sales in the February ending quarter and with expectations that demand will likely remain weak as we move through 2016. We believe that grain prices are going to be range bound through this year and into 2016 apart from a weather event impacting supply, and as a result we believe farm economics will continue to be tight and domestic demand for irrigation equipment will be weak. We are now modeling FY15 EPS of $3.02, which is below consensus, incorporating a 25% decline in domestic irrigation, excluding the Elecsys acquisition. We are also lowering our FY16 EPS estimate to $3.54, well below current Street expectations, as we do not expect growth in domestic irrigation next year. Our target moves to $65 using the same valuation multiple and we remain Underweight"

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

Shares of Lindsay Corporation closed at $75.60 yesterday.

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