Bank of America Merrill Lynch Maintains Buy on Air Products

Bank of America Merrill Lynch is out with its report today on Air Products APD, maintaining Buy. In a note to clients, Bank of America Merrill Lynch writes, "We reinstated coverage of APD with a Buy rating in March 2011. We believe there is much to like at Air Products, including (1) a refocused management team in the wake of Air Products' unsuccessful bid for Airgas; (2) elevated crude oil prices; (3) higher demand for hydrogen given wider light-heavy oil spreads; and (4) 30% of sales exposed to Europe with the euro at $1.45. Risks to our stance are potential for (1) a cyclical downturn in electronics (15% of sales), (2) escalation of competitive intensity in China and (3) any strengthening of the USD." Shares of APD closed Thursday at $92.65.