Cameron International Gives Guidance For 2011

Dahlman Rose has published a research report on Cameron International CAM after the company outlined international guidance for 2011. In the report, Dahlman Rose writes "Cameron reported 3Q10 EPS of $0.64 vs our and consensus estimates of $0.61. Revenues came in slightly below our expected run rate, but EBITDA margins came in above expectations. The company's $4.9Bn of backlog came in above our expectations, on pace with $1.5Bn in new orders and a higher portion of aftermarket sales and short cycle business. The company gave 4Q10 EPS guidance of $0.65-0.67, which translates to $2.38-$2.40 for 2010. We are calibrating our estimates to reflect 4Q10 guidance, raising our 2010 EPS to $2.38 from $2.36. Factoring lower margin backlog that will pass through earnings in the near-term and taking a slightly more conservative view relative to near-term order visibility, we are lowering our 2011 EPS to $2.89 from $3.05 and our 2012 EPS to $3.92 from $4.07." Dahlman Rose maintains its Buy rating and $62 price target. Cameron International closed yesterday at $43.40.