Credit Suisse Raises APH Target To $62 From $55

Amphenol Corporation APH beat 4Q10 consensus primarily from margin upside, Credit Suisse reports. OPM was 20.1%, notably breaking through APH's 20% goal for the first time. “We believe APH can continue to deliver 25% drop-through, inching aggregate OPM higher over time; however, M&A will become more important to upside now,” Credit Suisse writes. “We take C11 from $3.06 to $3.09, C12 from $3.43 to $3.46. “Our TP goes from $55 to $62 based on 18x our C12 EPS (vs. a 5-yr avg. P/E of 18.2x), reiterate Outperform.” Amphenol Corporation currently trades at $52.10.