KeyBanc Upgrades Sigma-Aldrich (SIAL) to Buy
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Price: $139.76 --0%
Rating Summary:
1 Buy, 12 Hold, 4 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 5 | Down: 11 | New: 27
Rating Summary:
1 Buy, 12 Hold, 4 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 5 | Down: 11 | New: 27
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KeyBanc upgraded Sigma-Aldrich (NASDAQ: SIAL) from Hold to Buy with a price target of $88.00.
The firm comments, "While several in the specialty chemical sector are seeing significant deceleration in earnings and sales growth into 4Q12E, we believe SIAL will be one of the few to stand alone and see an acceleration. As a result, we are upgrading SIAL to a BUY rating and establishing a 12-month price target at $88.00 based on a 2013 EV/EBITDA of 11.5x and 2013 P/E of 20.7x. We believe SIAL offers investors a defensive profile in an uncertain economic backdrop, steady organic growth driven by new capacity, products and expansion overseas, and best in class execution. While SIAL (up 13% year-to-date) has kept close pace with the S&P 500 (up about 12.5%), it has lagged sector performance noting that our coverage list is up 23% over the same time frame. Additionally, we note that over the last two years, SIAL has underperformed more broadly, since the beginning of 2011 up 5%, vs. the sector up 16.5% and the S&P 500 up 12.5% despite steady earnings growth of 16%."
For an analyst ratings summary and ratings history on Sigma-Aldrich click here. For more ratings news on Sigma-Aldrich click here.
Shares of Sigma-Aldrich closed at $70.15 yesterday.
The firm comments, "While several in the specialty chemical sector are seeing significant deceleration in earnings and sales growth into 4Q12E, we believe SIAL will be one of the few to stand alone and see an acceleration. As a result, we are upgrading SIAL to a BUY rating and establishing a 12-month price target at $88.00 based on a 2013 EV/EBITDA of 11.5x and 2013 P/E of 20.7x. We believe SIAL offers investors a defensive profile in an uncertain economic backdrop, steady organic growth driven by new capacity, products and expansion overseas, and best in class execution. While SIAL (up 13% year-to-date) has kept close pace with the S&P 500 (up about 12.5%), it has lagged sector performance noting that our coverage list is up 23% over the same time frame. Additionally, we note that over the last two years, SIAL has underperformed more broadly, since the beginning of 2011 up 5%, vs. the sector up 16.5% and the S&P 500 up 12.5% despite steady earnings growth of 16%."
For an analyst ratings summary and ratings history on Sigma-Aldrich click here. For more ratings news on Sigma-Aldrich click here.
Shares of Sigma-Aldrich closed at $70.15 yesterday.
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