Analysts’ ratings reiterations for Wednesday, December 11th:
Apple (NASDAQ:AAPL) had its neutral rating reiterated by analysts at Zacks. They currently have a $594.00 price target on the stock.
AutoZone (NYSE:AZO) had its neutral rating reiterated by analysts at Zacks. They currently have a $495.00 price target on the stock. Zacks’ analyst wrote, “AutoZone reported a 16.2% rise in earnings per share to $6.29 for the first quarter of fiscal 2014, surpassing the Zacks Consensus Estimate by $0.03. Revenues increased 5.1% year over year to $2,093.6 million, missing the Zacks Consensus Estimate of $2,099 million. The company is focusing on increasing sales through the expansion of stores. Moreover, AutoZone is focused on an aggressive share repurchase program to boost earnings. However, rising debt and interest burden can affect financials in the long term. Moreover, we remain concerned about the rising gas prices, consolidation among vendors and the company’s heavy reliance on its private label brands, which may affect its margins. As such, we continue with our Neutral recommendation on the stock.”
Broadcom Corp. (NASDAQ:BRCM) had its buy rating reaffirmed by analysts at Canaccord Genuity. Canaccord Genuity currently has a $28.51 price target on the stock, down from their previous price target of $33.00.
Broadcom Corp. (NASDAQ:BRCM) had its overweight rating reiterated by analysts at Evercore Partners. Evercore Partners currently has a $34.00 target price on the stock, up from their previous target price of $30.00. The analysts wrote, “Coming from the Analyst Day, our thesis remains intact as management delivered on several fronts by (1) raising the 4Q13 outlook, (2) disclosing the Samsung LTE design win, and (3) accelerating key LTE milestones by about a quarter. Along with tight op-ex controls and relatively conservative LTE assumptions, our 2014 EPS goes from $2.15 to $2.25. We reiterate our OW rating and lift our 12mo PT from $30 to $34 – 15x ’14 EPS.”
Chubb Corp. (NYSE:CB) had its outperform rating reissued by analysts at Zacks. The firm currently has a $113.00 price target on the stock. Zacks’ analyst wrote, “We are reiterating our outperform recommendation on Chubb Corp. following third quarter earnings beat. Earnings were also up on a year-over-year basis. Chubb has been performing favorably for the past many quarters and we expect the trend to continue given its superior franchise and a significant presence in its niche market. Chubb’s Commercial insurance segment has been consistently reporting favorable earnings results led by renewal rate increase for the past several quarters. The retention ratio stands at a stable level. Chubb’s Personal Insurance segment is also witnessing a gradual market improvement. Chubb’s international business has been performing strongly and remains key to its future growth. Strong capital management witnessed by regular share repurchases and a continuous dividend increase for the past several years makes the stock a favorite among investors.”
Citi Trends (NASDAQ:CTRN) had its outperform rating reiterated by analysts at Zacks. The firm currently has a $18.00 price target on the stock. Zacks’ analyst wrote, “Based on improved third-quarter fiscal 2013 results, we reiterate our long-term Outperform recommendation on Citi Trends. We remain impressed with the company’s strategic initiatives such as better utilization of floor area, improvising merchandise margins and efficient inventory management as these helped to reduce losses in the recent quarters. We applaud the company’s conscious efforts to lower inventory levels to drive comps and gross margin growth. Moreover, Citi Trends improved store-level performance, evident from positive comps results in 6 out of the past 7 months, indicate a steady rebound in sales. Other factors that justify our positive stance on the stock include better cost management, a debt-free balance sheet and strong cash position. “
Dollar General Corp. (NYSE:DG) had its neutral rating reiterated by analysts at Zacks. The firm currently has a $64.00 price target on the stock. Zacks’ analyst wrote, “Dollar General posted sturdy third-quarter fiscal 2013 results driven by robust performance in the consumables category. Comparable-store sales also grew in the quarter driven by higher traffic and average transaction count. The company’s comps have displayed an upward trajectory for the past 23 years defying unfavorable macroeconomic trends. Further, Dollar General’s abundant initiatives as regards to management of expense, inventory, merchandise and operations are likely to push sales north and provide cushion to margins. We believe gross margin are remains are likely to remain under pressure due to an increase in the sales of lower margin carrying consumables items and soft sales of discretionary products. Moreover, six less days between Black Friday and Christmas this holiday season, against last year will also impact sales. Currently, we maintain our Neutral recommendation on the stock.”
Derwent London (LON:DLN) had its hold rating reissued by analysts at Liberum Capital. The firm currently has a GBX 2,446 ($39.99) price target on the stock.
First Horizon National Corp. (NYSE:FHN) had its neutral rating reaffirmed by analysts at Zacks. The firm currently has a $12.00 price target on the stock. Zacks’ analyst wrote, “First Horizon’s third-quarter 2013 adjusted earnings were in line with the Zacks Consensus Estimate but higher than the prior-year quarter results. However, including the negative impact from addition of $200 million to the repurchase reserve, the company reported a loss. However, we commend the company’s endeavors to reduce exposure to problem loans. Moreover, lower provision for loan losses and net charge-offs depicts improvement in credit quality. The company is also aiming at controlling costs and boosting long-term profitability by focusing on strengthening its core Tennessee banking franchise, which augurs well going forward. However, a shrinking revenue base, regulatory issues and sluggish economic recovery remain challenges for First Horizon.”
Google (NASDAQ:GOOG) had its buy rating reissued by analysts at TheStreet. The analysts wrote, “Google (GOOG) has been reiterated by TheStreet Ratings as a buy with a ratings score of A. The company’s strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, growth in earnings per share and compelling growth in net income. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook.”
Gap (NYSE:GPS) had its neutral rating reiterated by analysts at Zacks. Zacks currently has a $41.00 target price on the stock. Zacks’ analyst wrote, “Gap reported better-than-expected third-quarter fiscal 2013 results driven by robust top-line growth and improved margins. We commend Gap’s consistent endeavors to keep itself buoyed on the growth trajectory, which has produced desirable results amid a soft economic environment. We believe Gap’s current marketing strategy to drive comps will continue to show positive results going forward. The company has been shifting to a more proactive approach, designed to increase traffic. However, we remain slightly cautious about the stock’s future performance due to a possible rise in both input costs and inventory levels. Its global expansion plan looks good but negative international comps results remain a concern. Consequently, we maintain our long-term Neutral recommendation on the stock.”
Hospira (NYSE:HSP) had its neutral rating reissued by analysts at Zacks. Zacks currently has a $44.00 target price on the stock. Zacks’ analyst wrote, “Hospira, Inc.’s third quarter 2013 adjusted earnings of $0.51 per share surpassed the Zacks Consensus Estimate by $0.06 and the year-ago earnings by $0.04. Results were aided by lower costs. We are encouraged by the European approval of Inflectra for the treatment of inflammatory conditions. Inflectra is the biosimilar version of Johnson & Johnson/Merck’s Remicade. We are also impressed by Hospira’s efforts to resolve the manufacturing issues confronting it. The upbeat long-term view provided by Hospira at its investor day is encouraging. We believe that the stock is fairly valued at current levels and hence retain our Neutral recommendation on the stock. Our target price is $44.00.”
Intu Properties (LON:INTU) had its hold rating reiterated by analysts at Liberum Capital. The firm currently has a GBX 319 ($5.22) price target on the stock.
Janus Capital Group (NYSE:JNS) had its neutral rating reissued by analysts at Zacks. They currently have a $11.50 price target on the stock. Zacks’ analyst wrote, “Janus Capital’s third-quarter 2013 earnings were in line with the Zacks Consensus Estimate. However, results compared favorably with the prior-year quarter earnings. Net outflows were a headwind for the quarter. Yet, top-line growth and reduced operating expenses depict prudent management. We believe Janus Capital has the best-in-class investment boutique with the potential for assets under management (AUM) and revenue along with competitive leverage growth. However, weak inflows remain a matter of concern. Though the fixed income segment and global operations are showing signs of improvement, the company’s equity-heavy portfolio makes it vulnerable to the volatilities of the equity market. Nevertheless, given its healthy balance sheet, we believe Janus Capital has the potential to perform well in the long run aided by a significant rebound in these markets. “
Lowe’s Cos. (NYSE:LOW) had its neutral rating reissued by analysts at Zacks. The firm currently has a $50.00 price target on the stock.
MGIC Investment Corp. (NYSE:MTG) had its neutral rating reaffirmed by analysts at Zacks. The firm currently has a $8.75 target price on the stock. Zacks’ analyst wrote, “MGIC Investment Corp. reported third quarter operating profit of $0.04 per share, in contrast to the Zacks Consensus Estimate of a loss of $0.12 per share. MGIC had reported an operating loss of $1.25 per share in the year-ago quarter. The quarter marked MGIC’s second quarterly profit, thereby continuing with favorable performance during the previous quarter which was its first quarterly profit, since the second quarter of 2010. Results were helped by lower claim rate on early-stage delinquencies, combined with a decreasing level of new notices. An improving housing market, along with the outstanding credit quality of the company s new business and its industry’s growing share of business offers an environment for gradual growth at MGIC. However, factors such as low interest rates and a weak economic environment may adversely affect the results. We thus maintain our Neutral recommendation on the company. “
National Oilwell Varco (NYSE:NOV) had its neutral rating reaffirmed by analysts at Zacks. They currently have a $83.00 target price on the stock. Zacks’ analyst wrote, “We are maintaining our Neutral recommendation on National Oilwell Varco shares. We like its healthy backlog, solid balance sheet and strength in international operations, particularly in the Middle East and Brazil. The Robbins & Myers acquisition has further boosted NOV’s earnings visibility by expanding its blowout preventer product line a critical safety machine for a well. NOV’s proposal to split into two separate entities is expected to add to the positive sentiment. However, we think the current valuation is fair and adequately reflects the company’s future growth prospects. Moreover, with markets remaining competitive and pricing likely to be weak, we see no obvious catalyst in NOV’s business to significantly push the stock price higher.”
Outerwall (NASDAQ:OUTR) had its positive rating reiterated by analysts at Northland Securities.
Segro (LON:SGRO) had its hold rating reissued by analysts at Liberum Capital. They currently have a GBX 346 ($5.66) price target on the stock.
TUI Travel (LON:TT) had its buy rating reiterated by analysts at Galvan Research. Galvan Research currently has a GBX 400 ($6.54) target price on the stock.
Texas Instruments Incorporated (NYSE:TXN) had its neutral rating reissued by analysts at Zacks. Zacks currently has a $46.00 price target on the stock. Zacks’ analyst wrote, “TI is one of the largest suppliers of analog and DSP integrated circuits. Third-quarter earnings missed the Zacks Consensus Estimate and forward guidance was disappointing. It appears that TXN started seeing some softness in demand toward the end of the third quarter that will continue into the fourth. However, the company’s compelling product line, market share gains, strategic refocus on high-growth areas of the analog and embedded processing markets and margin gains are positives. Share prices appear to reflect the uncertainty in demand, significant capacity (that will pressure earnings) and the risks associated with a high debt level. We therefore reiterate our Neutral rating on the shares.”
This article (Analysts’ Ratings Reiterations for December, 11th (AAPL, AZO, BRCM, CB, CTRN, DG, DLN, FHN, GOOG, GPS)) was originally developed by and is property of American Banking News.
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