FBR Capital Reiterates an 'Outperform/Top Pick' on United Stationers (USTR); Update Following Mgmt Meetings
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Price: $38.84 --0%
Rating Summary:
1 Buy, 3 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
1 Buy, 3 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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FBR Capital reiterates an 'Outperform/Top Pick' on United Stationers (NASDAQ: USTR), lowers PT by $1 to $44.
FBR analyst says, "We held constructive meetings with United Stationers' senior management on the West Coast this past week (June 14 and 15). Discussions centered on United Stationers' strategic strength as a wholesale company "in the middle." The company is well diversified with sales catalysts in various areas, such as new channel sales growth (e-tailers), janitorial and breakroom supplies, and, most notably, industrial supplies. In the near term, we think trends will be bumpy, as macro data points have been mixed. This has been evident within the latest sales comments for Office Depot (NYSE: ODP), supplier Newell Rubbermaid (NYSE: NWL), as well as industry data through May, as measured by NPD. United Stationers will not be immune to this, while gross margins face more difficult year-over-year comparisons for the rest of 2011E. So, we are lowering our EPS estimates for 2011E in order to be conservative. As for the stock, we think more conservative trends are already largely anticipated by the equity market, while USTR has appreciation potential on our 2012E expectations."
For more ratings news on United Stationers click here and for the rating history of United Stationers click here.
Shares of United Stationers closed at $33.16 yesterday.
FBR analyst says, "We held constructive meetings with United Stationers' senior management on the West Coast this past week (June 14 and 15). Discussions centered on United Stationers' strategic strength as a wholesale company "in the middle." The company is well diversified with sales catalysts in various areas, such as new channel sales growth (e-tailers), janitorial and breakroom supplies, and, most notably, industrial supplies. In the near term, we think trends will be bumpy, as macro data points have been mixed. This has been evident within the latest sales comments for Office Depot (NYSE: ODP), supplier Newell Rubbermaid (NYSE: NWL), as well as industry data through May, as measured by NPD. United Stationers will not be immune to this, while gross margins face more difficult year-over-year comparisons for the rest of 2011E. So, we are lowering our EPS estimates for 2011E in order to be conservative. As for the stock, we think more conservative trends are already largely anticipated by the equity market, while USTR has appreciation potential on our 2012E expectations."
For more ratings news on United Stationers click here and for the rating history of United Stationers click here.
Shares of United Stationers closed at $33.16 yesterday.
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