UBS Maintains a 'Buy' on Agilent (A); Shareholder Friendly Dividend Initiation Justifies Higher Valuation
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Price: $132.44 -1.57%
Rating Summary:
16 Buy, 8 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 17 | Down: 14 | New: 17
Rating Summary:
16 Buy, 8 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 17 | Down: 14 | New: 17
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UBS maintains a 'Buy' on Agilent (NYSE: A) price target raised from $43 to $47.
UBS analyst says, "Signal sent, signal received: mgmt knows it must wisely allocate capital: Agilent has publically stated its desire for M&A in key areas (esp Life Sciences). However, cash has kept accumulating (albeit offshore) and -thus far- Agilent hasn’t found a sizeable deal due to still-high seller expectations/valuations. Our ‘win-win’ thesis on capital deployment seems to be playing out: if attractive ROIC/accretive deals can’t be found, mgmt will go back to its roots and return cash. The wrinkle: we didn’t expect a dividend over a buyback, but it has been warmly received by investors who are pleased by the visibility from a clearer driver of equity returns."
For an analyst ratings summary and ratings history on Agilent click here. For more ratings news on Agilent click here.
Shares of Agilent closed at $41.00 yesterday.
UBS analyst says, "Signal sent, signal received: mgmt knows it must wisely allocate capital: Agilent has publically stated its desire for M&A in key areas (esp Life Sciences). However, cash has kept accumulating (albeit offshore) and -thus far- Agilent hasn’t found a sizeable deal due to still-high seller expectations/valuations. Our ‘win-win’ thesis on capital deployment seems to be playing out: if attractive ROIC/accretive deals can’t be found, mgmt will go back to its roots and return cash. The wrinkle: we didn’t expect a dividend over a buyback, but it has been warmly received by investors who are pleased by the visibility from a clearer driver of equity returns."
For an analyst ratings summary and ratings history on Agilent click here. For more ratings news on Agilent click here.
Shares of Agilent closed at $41.00 yesterday.
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