UPDATE: D.A. Davidson Raises PT to $48 for Moog

According to a research report from D.A. Davidson this morning, Moog Inc. MOG exceeded expectations for Q2 resulting in a PT increase from $46 to $48. D.A. Davidson stated, “We are raising our target on Moog from $46 to $48 based on ~13x on our FY13 EPS or ~7x on an EV/EBITDA basis. Historically, Moog shares have traded at an average P/E of ~14x and around ~9x on an EV/EBITDA basis. This quarter was very solid in terms of execution, but we believe there is lingering investor concern over exposure to defense and space spending (~35% of total projected revenue). Higher exposure to these markets should keep the valuation below the long-term average multiples until there is more clarity on spending levels.” Moog closed Friday at $41.06 as D.A. Davidson maintains its Neutral rating.