Bank Of America Raises PT On LAZ To $54

Bank of America has raised its price target from $51 to $54 on Lazard LAZ and is also reiterating its Buy rating on the stock. Says Bank of America, in its report, “We reiterate our Buy rating and raise our PO to $54 from $51; despite recent weakness in LAZ shares, having underperformed global equity indices -14% from Feb'11 peak, we believe resurgence in M&A activity supports a higher valuation (+36% implied upside potential by our PO). Investors remain concerned about lower Restructuring activity and declining pace of EM flows, but these headwinds are already reflected in our earnings estimates; the significant pick-up in M&A activity, which is already beginning to percolate, should more than offset these headwinds. Sum-of-the-parts analysis supports our $54 valuation, with potential for further upside if acceleration in M&A activity proves sustainable.” LAZ closed at $39.65 on Friday.