Wells Fargo Starts Harmon International (HAR) at Market Perform

Article Stock Quotes (1) Comments (0)

Wells Fargo initiates coverage on Harmon International (NYSE: HAR) with a Market Perform rating and $41-$45 valuation range.

The firm comments, "The company is in an enviable position to reap the benefits of the strong global trend in in-vehicle information and entertainment technologies and connectivity. Harman is the market leader in the global automotive infotainment market, which is estimated to grow to about $14.4B by FY2016 (conservative, in our view). We believe take rates can accelerate as infotainment piece price has declined substantially. Although the long-term growth story is intact, we believe near-term challenges include incremental downside risk to Europe production mix in FY2013 (incremental weakness in German production) and slowing growth in China. Our valuation range is $41-45, applying an EV/EBITDA multiple of 5.2-5.7x to our FY2013 estimate of $455MM.

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

Shares of Harmon International closed at $38.00 yesterday, with a 52 week range of $34.08-$52.75.

---

Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW

---

*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here

---

---

You May Also Be Interested In

• New Harman Kardon® Audio/Video Receivers Accomplish Flawless Versatility and Performance
• UPDATE: A.G. Lafley Gives Procter & Gamble (PG) Investors 'New Hope', UBS Upgrades to Buy
• Topeka Capital Starts CEVA Inc. (CEVA) at Buy

Create E-mail Alert Related Categories

New Coverage

Related Entities

Wells Fargo

Add Your Comment

Name

Subject

Body

Share on Facebook

Verification
can't see the text?
click here to refresh the image.
what's this?