Auriga Reiterates a 'Buy' on Allegheny Technologies (ATI); Modestly Exceeding Expectations
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Price: $49.84 --0%
Rating Summary:
15 Buy, 3 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 14 | New: 1
Rating Summary:
15 Buy, 3 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 14 | New: 1
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Auriga reiterates a 'Buy' on Allegheny Technologies (NYSE: ATI) price target of $70.00.
Analyst, Dan Whalen, said, "ATI reported 1Q12 EPS results of $0.50 versus our estimate of $0.45 and consensus of $0.49. Overall, revenue results were essentially in-line with our estimates with the outperformance coming from lower than anticipated expenses. 2012 guidance of at least 10% revenue growth and segment operating margins in a range of 13% to 14% was maintained. While we view the overall tone of the guidance as conservative, we believe it is a prudent approach given some of the broader macro risks that remain. However, we note in 1Q12 (which could be the weakest quarter for the year) revenue results already met the hurdle and operating segment results are within 100 basis points of the low end of the margin range. Furthermore, while headwinds from the stainless steel flat rolled products business remain, the company continues to be well positioned to benefit from its integrated business model, as well as, the longer-cycled end markets such as commercial aerospace and oil and gas/chemical process industries."
For an analyst ratings summary and ratings history on Allegheny Technologies click here. For more ratings news on Allegheny Technologies click here.
Shares of Allegheny Technologies closed at $42.79 yesterday.
Analyst, Dan Whalen, said, "ATI reported 1Q12 EPS results of $0.50 versus our estimate of $0.45 and consensus of $0.49. Overall, revenue results were essentially in-line with our estimates with the outperformance coming from lower than anticipated expenses. 2012 guidance of at least 10% revenue growth and segment operating margins in a range of 13% to 14% was maintained. While we view the overall tone of the guidance as conservative, we believe it is a prudent approach given some of the broader macro risks that remain. However, we note in 1Q12 (which could be the weakest quarter for the year) revenue results already met the hurdle and operating segment results are within 100 basis points of the low end of the margin range. Furthermore, while headwinds from the stainless steel flat rolled products business remain, the company continues to be well positioned to benefit from its integrated business model, as well as, the longer-cycled end markets such as commercial aerospace and oil and gas/chemical process industries."
For an analyst ratings summary and ratings history on Allegheny Technologies click here. For more ratings news on Allegheny Technologies click here.
Shares of Allegheny Technologies closed at $42.79 yesterday.
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