Jefferies Raises Price Target on Energizer Holdings (ENR) Following HandStands Acquisition

Jefferies reiterated a Hold rating on Energizer Holdings (NYSE: ENR), and raised the price target to $50.00 (from $45.00), following the company's acquisition of HandStands and meeting with management. Jefferies likes the dead and sees it as accretive across the board.

Analyst Kevin Grundy commented, "We are raising our FY16-17 EBITDA est. by 3%/10% and lifting our PT for ENR to $50 following the co.'s acquisition of HandStands (auto air fresheners) for 10x EBITDA and upbeat mgmnt lunch. We like the deal, which is accretive across the board including ~85 bps to EBITDA margins, ~45/65 bps to org sales/OI growth, and 15-20 cents to EPS. Good evolving story at 15.5x EV/ULFCF, though SPB remains our preferred way to play improving battery dynamics."

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

Shares of Energizer closed at $47.22 yesterday.

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