JP Morgan Thinks Better Entry Point Will Come In WABCO Later

Analysts at JP Morgan downgrade WABCO WBC from "overweight" to "neutral," while raising their estimates for the company. The target price for WBC has been raised from $41 to $43. JP Morgan says, “We are taking a break from recommending WABCO. The first fundamental leg of the story – a sharp bounce off the trough – has played out with a non-fundamental kicker, the EU fine resolution, also helping incrementally since early this year. Fundamentally, we acknowledge we are still close to trough in EU markets (positive), and we still like the long-term story (content growth), but the bar has been raised, and any near-term hiccup in what is now somewhat of a macro call could drive downside… We would be nimble in considering a potentially better entry point in coming months.” JP Morgan has raised its EPS estimates for 2010 and 2011 from $2 to $2.25 and from $2.65 to $3.20, respectively. More Analyst Ratings here