KeyBanc Upgrades Altra Holdings (AIMC) to Buy
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Price: $61.98 --0%
Rating Summary:
6 Buy, 5 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 0 | Down: 0 | New: 0
Rating Summary:
6 Buy, 5 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 0 | Down: 0 | New: 0
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KeyBanc upgraded Altra Holdings (NASDAQ: AIMC) from Hold to Buy with a price target of $42.00.
Analyst Hammond said, "We upgrade AIMC from Hold to BUY ($42 PT) as we came away from recent mgmt. meetings incrementally positive on the Co.'s cost savings initiatives and Svendborg Brakes acquisition. In addition to driving potential earnings upside, we think AIMC should benefit from multiple expansion as the Co. successfully executes on these fronts."
"We are confident that AIMC can improve margins to ~14-15% (from 10.5%) despite a sluggish demand environ't. We see ~300 bps coming from AIMC’s cost savings initiatives and believe the Co.’s $20m in targeted savings could add ~ $0.75 to EPS over the next 3 yrs. We attribute the remaining ~150 bps to volume growth based on incremental margins of 25%, which we think could prove conservative," he added.
For an analyst ratings summary and ratings history on Altra Holdings click here. For more ratings news on Altra Holdings click here.
Shares of Altra Holdings closed at $35.86 yesterday.
Analyst Hammond said, "We upgrade AIMC from Hold to BUY ($42 PT) as we came away from recent mgmt. meetings incrementally positive on the Co.'s cost savings initiatives and Svendborg Brakes acquisition. In addition to driving potential earnings upside, we think AIMC should benefit from multiple expansion as the Co. successfully executes on these fronts."
"We are confident that AIMC can improve margins to ~14-15% (from 10.5%) despite a sluggish demand environ't. We see ~300 bps coming from AIMC’s cost savings initiatives and believe the Co.’s $20m in targeted savings could add ~ $0.75 to EPS over the next 3 yrs. We attribute the remaining ~150 bps to volume growth based on incremental margins of 25%, which we think could prove conservative," he added.
For an analyst ratings summary and ratings history on Altra Holdings click here. For more ratings news on Altra Holdings click here.
Shares of Altra Holdings closed at $35.86 yesterday.
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