Jefferies Raising Estimates And PT On Lifetime Brands

In a report published by Jefferies, it is raising estimates and price target on Lifetime Brands LCUT, on continued business strength.

Jefferies said that it expects 2011E to be another solid year for LCUT, driven by continued new product activity, especially as the company moves into new product categories, as well as the continued rebound in consumer spending from recessionary troughs. “LCUT's balance sheet continues its steady improvement given better underlying demand trends and strong cost controls. Our new $19 price target is approximately 12x our 2012E of $1.60, in line with its five-year average prospective P/E ratio. Risks include seasonality, acquisition risk, change in consumer spending patterns, foreign sourcing, competitive threats, and commodity cost pressures.”

Lifetime Brands closed yesterday at $12.60.