Alliant Techsystems Lowered to Neutral at Zacks (ATK)
Alliant Techsystems (NYSE:ATK) was downgraded by Zacks from an “outperform” rating to a “neutral” rating in a report released on Friday. They currently have a $143.00 price objective on the stock. Zacks‘s target price would indicate a potential upside of 4.74% from the company’s current price.
Zacks’ analyst wrote, “We have downgraded our recommendation on Alliant Techsystems Inc. to Neutral from Outperform. The downward revision was primarily due to uncertainties and expected curtailment on the upcoming U.S. Defense Budget. The curtailment of budget may impact the company’s existing contracts with the U.S. defense establishments in terms of cancellation or discontinuation of existing contracts, thereby impacting cash inflows. Moreover, risks associated with program execution and dependence on raw material suppliers and increased technological competitiveness are other probable downsides, which could obstruct the company’s growth trajectory. However, these negatives could be mitigated by the company’s stable cash generation capacity, disciplined capital investment program and positive outcomes from previous acquisitions.”
Shares of Alliant Techsystems (NYSE:ATK) traded down 0.08% on Friday, hitting $136.42. 290,312 shares of the company’s stock traded hands. Alliant Techsystems has a 52-week low of $81.04 and a 52-week high of $158.13. The stock’s 50-day moving average is $134.7 and its 200-day moving average is $134.1. The company has a market cap of $4.346 billion and a P/E ratio of 13.10.
Alliant Techsystems (NYSE:ATK) last announced its earnings results on Thursday, May 15th. The company reported $2.90 EPS for the quarter, beating the Thomson Reuters consensus estimate of $2.40 by $0.50. The company had revenue of $1.30 billion for the quarter, compared to the consensus estimate of $1.32 billion. Analysts expect that Alliant Techsystems will post $11.21 EPS for the current fiscal year.
Several other analysts have also recently commented on the stock. Analysts at JPMorgan Chase & Co. cut their price target on shares of Alliant Techsystems from $162.00 to $150.00 in a research note on Thursday, May 29th. Separately, analysts at Monness Crespi & Hardt downgraded shares of Alliant Techsystems from a “buy” rating to a “neutral” rating in a research note on Monday, May 19th. Finally, analysts at Goldman Sachs downgraded shares of Alliant Techsystems from a “buy” rating to a “neutral” rating in a research note on Monday, May 19th. They now have a $146.00 price target on the stock. Six research analysts have rated the stock with a hold rating and two have issued a buy rating to the company’s stock. The company has a consensus rating of “Hold” and an average price target of $150.82.
Alliant Techsystems Inc (NYSE:ATK) is an aerospace, defense, and commercial products company that operates in 22 states, Puerto Rico, and internationally.
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