Wells Fargo Upgrades PAREXEL International (PRXL) to Outperform; Turbo Boost

Wells Fargo upgraded PAREXEL International (NASDAQ: PRXL) from Market Perform to Outperform, price target range raised from $24-25 to $30-31.

Analyst, Tim Evans, said, "With continued momentum from last quarter, we think PRXL could beat FY2012 consensus estimates and see FY2013 estimates rise. Last quarter was likely the backlog conversion inflection point we have been waiting for, and PRXL's 9-10% margin target by FQ4 2012 now looks very achievable. The Pfizer (NYSE: PFE) contract has provided more visibility and stability than we anticipated. We also did not give enough weight to the "learning curve" argument, the idea that operating performance should improve as CROs gain experience with the partnership contracting model. PRXL now has the best backlog coverage in the sector in our view and bookings that will likely be the best in the group again this quarter, making the revenue growth and incremental gross margin assumptions implied in FY2013 consensus seem beatable."

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

Shares of PAREXEL International closed at $26.77 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Piper Sandler Reiterates Overweight Rating on Estee Lauder (EL), 'F4Q26 Preview'
• Petronet LNG Ltd. (PLNG:IN) PT Raised to INR310 at ICICI Securities
• Chemtrade Logistics Income Fund (CHE-U:CN) (CGIFF) PT Raised to Cdn$18.50 at Desjardins