Morgan Stanley Reiterates Positive Rating for Meritor (MTOR)
The analysts wrote, “We believe MTOR can hit its 10% target for FY16, if macro, esp. in emerging markets co-operate. Modeling in this higher level of confidence takes our FY14 EPS to $0.55 and FY16 to $1.45 and our PT to $15. MTOR trades at 6.5x FY15 EV/EBITDA vs. CV peers at >7x and 10x normalized EPS of around $1.50. At the current price, we do not believe the stock even fully prices in the fundamental story, let alone any potential upside from the litigation outcome.”
Meritor (NASDAQ:MTOR) traded down 0.21% during mid-day trading on Wednesday, hitting $13.93. 573,634 shares of the company’s stock traded hands. Meritor has a 52 week low of $6.09 and a 52 week high of $14.28. The stock’s 50-day moving average is $12.80 and its 200-day moving average is $10.81. The company has a market cap of $1.362 billion and a price-to-earnings ratio of 91.84.
Meritor (NASDAQ:MTOR) last released its earnings data on Thursday, May 1st. The company reported $0.22 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.09 by $0.13. The company had revenue of $962.00 million for the quarter, compared to the consensus estimate of $920.24 million. During the same quarter in the previous year, the company posted $0.06 earnings per share. The company’s revenue for the quarter was up 5.9% on a year-over-year basis. On average, analysts predict that Meritor will post $0.61 earnings per share for the current fiscal year.
A number of other firms have also recently commented on MTOR. Analysts at Zacks reiterated an “outperform” rating on shares of Meritor in a research note on Tuesday, May 6th. They now have a $17.00 price target on the stock. Separately, analysts at Barclays reiterated an “overweight” rating on shares of Meritor in a research note on Friday, May 2nd. They now have a $15.00 price target on the stock. Finally, analysts at JPMorgan Chase & Co. raised their price target on shares of Meritor from $13.00 to $15.50 in a research note on Friday, May 2nd. Three equities research analysts have rated the stock with a hold rating and four have given a buy rating to the company’s stock. The stock presently has a consensus rating of “Buy” and a consensus price target of $13.42.
Meritor, Inc (NASDAQ:MTOR) is a global supplier of a range of integrated systems and components to original equipment manufacturers (OEMs) and the aftermarket for the commercial vehicle, transportation and industrial sectors.
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