Analysts at William Blair & Co upgrade Exponent Inc EXPO from "market perform" to "outperform."
William Blair & Co says that although it has admired the quality of Exponent’s business and management team, it has “been on the sidelines with the stock until now, because we felt that the company’s premium multiple left little room for error.” According to the analysts, “a pullback in the stock has created a more reasonable valuation. In addition, some large potential new projects (BP oil spill and Toyota), the winning of some significant new technology development contracts during the last six months, and a potential acceleration in share repurchase activity later this year give us added conviction that the company can meet or exceed estimates.”
“We believe the current share price represents an attractive entry point. Our upgrade is primarily based on three primary factors: an increasingly high conviction in our estimates, our view that the quality of the company remains high, and a more reasonable valuation… Because of these dynamics, Exponent has exceeded the consensus estimate every quarter since we initiated coverage three years ago. We thus have always had a relatively high degree of confidence in our estimates,” the analysts add.
More Analyst Ratings here
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Posted In: Long IdeasUpgradesMarketsAnalyst RatingsTrading IdeasDiversified Commercial & Professional ServicesIndustrialsWilliam Blair & Co
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in