Piper Jaffray Downgrading Fastenal Company (FAST)

Piper Jaffray is downgrading shares of Fastenal Company FAST to Neutral from Outperform and cut its price target to $62 from $64. In a note to clients, Piper Jaffray writes, "We are downgrading shares of Fastenal to Neutral from Overweight as we struggle to see what catalysts Fastenal can implement to drive relative outperformance as they face increasingly more difficult comps as well as end markets that remain challenging. We believe shares remain relatively expensive compared to other companies in our universe and we struggle to justify the lofty multiple as they are likely to face challenges going into a second year of a modest recovery. Our PT goes to $62 based on 25x our new CY12 EPS estimate of $2.46." Shares of FAST gained $1.06 yesterday to close at $60.95.