Ritchie Bros. Auctioneers Given “Neutral” Rating at Credit Suisse (RBA)
Ritchie Bros. Auctioneers (NYSE:RBA)‘s stock had its “neutral” rating reiterated by analysts at Credit Suisse in a research report issued to clients and investors on Wednesday, Analyst Ratings Net reports. They currently have a $18.00 target price on the stock, down from their previous target price of $20.00. Credit Suisse’s price objective suggests a potential downside of 6.40% from the company’s current price.
The analysts wrote, “We expect RBA shares to come under pressure tomorrow on the announcement that the CEO is stepping down in 2014 and are cutting our estimates and valuation on choppy execution and growing pains associated with new leadership. Our 2013E EPS goes to $0.79 from $0.82 based on updated September gross auction proceeds (GAP) figures. Our 2014E EPS is $0.87. We are cutting our target to $18from $20. Our target is based on 21x normalized EPS of $0.95 discounted back. Our multiple is below what RBA shares have traded for historically given lack of GAP growth.”
Shares of Ritchie Bros. Auctioneers (NYSE:RBA) traded down 4.63% on Wednesday, hitting $18.34. 1,274,785 shares of the company’s stock traded hands. Ritchie Bros. Auctioneers has a 52 week low of $18.35 and a 52 week high of $23.57. The stock has a 50-day moving average of $19.58 and a 200-day moving average of $19.83. The company has a market cap of $1.959 billion and a P/E ratio of 27.87.
Ritchie Bros. Auctioneers (NYSE:RBA) last released its earnings data on Tuesday, August 6th. The company reported $0.28 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.27 by $0.01. The company had revenue of $128.32 million for the quarter, compared to the consensus estimate of $125.20 million. During the same quarter in the prior year, the company posted $0.30 earnings per share. The company’s quarterly revenue was up .9% on a year-over-year basis. On average, analysts predict that Ritchie Bros. Auctioneers will post $0.77 earnings per share for the current fiscal year.
A number of other firms have also recently commented on RBA. Analysts at Zacks upgraded shares of Ritchie Bros. Auctioneers from an “underperform” rating to a “neutral” rating in a research note to investors on Tuesday, September 10th. They now have a $19.70 price target on the stock. Separately, analysts at Longbow Research initiated coverage on shares of Ritchie Bros. Auctioneers in a research note to investors on Friday, September 6th. They set a “neutral” rating on the stock. Three investment analysts have rated the stock with a sell rating, eight have assigned a hold rating and one has given a buy rating to the company. The stock currently has a consensus rating of “Hold” and an average price target of $20.42.
Ritchie Bros. Auctioneers Incorporated and its subsidiaries sells industrial equipment and other assets for the construction, transportation, material handling, mining, forestry, petroleum, marine, real estate, and agricultural industries at its unreserved auctions worldwide.
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