J.P. Morgan Maintains Overweight on Ingersoll-Rand (IR)

J.P. Morgan is out with its report today on Ingersoll-Rand IR, maintaining Overweight. In a note to clients, J.P. Morgan states, "4Q a miss. $0.62 was $0.03 below Consensus with segment profits $0.07 below our model. The driver was execution inefficiencies related to upside on volumes, and 4Q gross productivity was 4.1%, finishing the year at 4.6%, both below plan. The 4Q was undoubtedly disappointing in the context of revenue upside, with guide not enough to sustain the run in the stock into the end of last year. This said, the call here is not about 4Q10, and sentiment/valuation now appear more attractive with an appropriate degree of skepticism around the company's ability to execute. In the end, a dearth of inexpensive restructuring stories, along with end-market dynamics that are only now coming into their sweet spot, keep the stock attractive and we remain OW." J.P. Morgan maintains a $47 PT on IR. Shares of IR closed yesterday at $46.62, up 0.80% from Wednesday's close.