Oppenheimer Cuts Price Target on Ametek (AME) Following an In-Line 4Q EPS

Oppenheimer maintained an Outperform rating on Ametek Inc. (NYSE: AME), and cut the price target to $56.00 (from $59.00), following the company's 4Q earnings report. AME reported an in-line adjusted EPS of $0.63, which was flat y-o-y, on revenue down 3.5% to $988M vs. down lsd guidance.

Analyst Christopher Glynn commented, "AME suggested wisdom in modeling the low end (flat y-o-y) of $2.55-2.65 guidance, given lsd organic declines, flattish net price/inflation equation (vs. typically favorable), ~$60M incremental growth spend, and general incidences of volatility across lackluster macro forces all competing with favorable realignment savings. We believe AME's acquisition pipeline remains consistent with historical levels, which on balance could drive increased deal flow, as the luck factor of deal timing and fruition seemed on ebb a bit over the past year-plus. Two recent deals and some share repurchase highlight that capital allocation remains a pillar for AME, along with operational excellence. Margins and cash flow trends remain robust, and we think long-term, the current stock price will prove rewarding."

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

Shares of Ametek Inc. closed at $45.33 yesterday.

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