Analyst Color

P&G Replacing CEO With Predecessor – Is This J.C. Penney Déjà vu All Over Again?

Jim Probasco — Fri, 24 May 2013 18:26:08 +0000

Procter & Gamble Co.(NYSE: PG) CEO, Bob McDonald is out. His predecessor, A.G. Lafley, is back, according to Bloomberg. And, over at J.C. Penney (NYSE: JCP), heads are nodding to the beat of a familiar tune.

Except, not exactly. According to The Wall Street Journal, while the practice of replacing a struggling CEO with a predecessor is often seen as a sign of crisis, it isn’t always the smartest move. Mark Cohen, former chief executive of Sears Canada said, “It only makes sense if the person coming back has a successful track record.”

Former P&G head, Lafley, has that. Returning, J.C. Penney CEO, Myron Ullman, not so much. At least not to Bill Ackman, who was instrumental in forcing Ullman out in the first place.

Speaking of Mr. Ackman, who has a large ownership position at P&G, he called for the removal of Bob McDonald earlier this month if performance didn’t show improvement.

As for Lafley, he retired from P&G in 2010 following a very successful reign as head of the company.

Charles Elson, head ...

UPDATE: Imperial Capital Raises Price Target On The Buckle on 1Q13 Earnings Report

Garet Zatz — Fri, 24 May 2013 16:43:23 +0000

In a research report published Friday, Imperial Capital analyst Lee Giordano raised the price target on The Buckle (NYSE: BKE) from $49 to $54 and maintained the Rating of In-Line on the ...

UPDATE: Ascendiant Initiated Coverage on Polypore International

Ari Crane — Fri, 24 May 2013 13:17:18 +0000

In a report published on Friday, Ascendiant Capital Markets initiated coverage on Polypore International (NYSE: PPO) with a Neutral rating and a $45.50 price target.

In the report, analysts from Ascendiant commented that Polypore International is "Fairly valued given the anticipated but uncertain volume ...

UPDATE: Ascendiant Capital Initiates Coverage on Polypore International with Neutral Rating, $45.50 PT on Fair Valuation

Dwight Einhorn — Fri, 24 May 2013 13:02:15 +0000

In a report published Friday, Ascendiant Capital analyst Carter W. Driscoll initiated coverage on Polypore International (NYSE: PPO) with a Neutral rating and $45.50 price target.

In the report, Ascendiant Capital noted, “Innovation and design of microporous membranes is core sustainable advantage. Polypore's ability to innovate and penetrate new ...

UPDATE: DA Davidson Raises PT on Marvell Technology Due to Sequential Growth

Ari Crane — Fri, 24 May 2013 12:39:47 +0000

In a report published Friday, DA Davidson raised its price target on Marvell Technology Group (NASDAQ: MRVL) from $12 to $14, and reiterated its Buy rating on the company.

In the report, analysts at DA Davidson commented that, "Q1 results better ...

UPDATE: D.A. Davidson Reiterates Neutral Rating, Raises PT on Zumiez Following Good 1Q Results

Dwight Einhorn — Fri, 24 May 2013 12:38:15 +0000

In a report published Friday, D.A. Davidson analyst Andrew Burns reiterated a Neutral rating on Zumiez (NASDAQ: ZUMZ), and raised the price target from $32.00 to $33.00.

In the report, Burns noted, “1Q results exceed consensus. Zumiez reported 1Q revenue and ...

UPDATE: Deutsche Bank Initiates Coverage on Alnylam Pharmaceuticals with Buy Rating, $40 PT on Significant Long-Term Value Potential

Dwight Einhorn — Fri, 24 May 2013 12:33:38 +0000

In a report published Friday, Deutsche Bank analyst Alethia Young initiated coverage on Alnylam Pharmaceuticals (NASDAQ: ALNY) with a Buy rating and $40.00 price target.

In the report, Young noted, “Alnylam is an early stage ...

UPDATE: DA Davidson Reiterates Buy Rating on Mentor Graphics Following Strong Emulation Bookings

Ari Crane — Fri, 24 May 2013 12:32:08 +0000

In a report published on Friday DA Davidson reiterated its Buy rating on Mentor Graphics Corporation (NASDAQ: MENT) and also maintained its $24 price target on the company.

In the report, analysts from ...

UPDATE: Deutsche Bank Initiates Coverage on Kodiak Oil & Gas on Peer-Leading Cash Flow Growth

Sam Liu — Fri, 24 May 2013 12:29:12 +0000

In a report published on Friday, Deutsche Bank analyst Ryan Todd initiated coverage on Kodiak Oil & Gas Corp. <kodiak gas="" oil="" strong=""> (NYSE: KOG) with a Hold rating and a price target of $11.00</kodiak>

In the report, Todd noted, "Like ...

UPDATE: Taglich Brothers Downgrades HCI Group, Inc. Based on Share Price Gain

Ari Crane — Fri, 24 May 2013 12:17:52 +0000

In a report published on Friday, Taglich Brothers downgraded its rating on HCI Group (NYSE: HCI) from Buy to Speculative Buy. Taglich Brothers also raised its price target on the company from $31.95 to $38.

In the report analyst Howard Halpern commented that, "We lowered our rating ...

UPDATE: Piper Jaffray Upgrades Gordmans Stores on Promising Earnings Gains

Sam Liu — Fri, 24 May 2013 12:16:32 +0000

In a report published on Friday, Piper Jaffray analyst Neely Tamminga upgraded Gordmans Stores (NASDAQ: GMAN) from Neutral to Overweight, and raised the price target from $13.00 to $14.00.

In the report, Piper Jaffray noted, "Having spent some ...

UPDATE: Oppenheimer Downgrades Nordson Corporation to Perform, Reiterates $70 PT on Near-Term Outlook

Dwight Einhorn — Fri, 24 May 2013 12:15:11 +0000

In a report published Friday, Oppenheimer analyst Christopher Glynn downgraded the rating on Nordson Corporation (NASDAQ: NDSN) from Outperform to Perform, but reiterated his $70.00 price target.

In the report, Glynn noted, “We are downgrading shares of NDSN to Perform from Outperform, as we believe the near-term ...

UPDATE: DA Davidson Raises PT on HEICO Due to Strong Organic Growth

Ari Crane — Fri, 24 May 2013 12:08:19 +0000

In a report published on Friday DA Davidson raised its price target on HEICO Corporation (NYSE: HEI) from $44 to $48 and maintained its Buy rating on the company.

In the report analysts commented that, "The company now expects full year revenue growth of 8%-10%, up from ...

UPDATE: Jefferies Raises PT on DDR Corp on Further Multiple Expansion

Sam Liu — Fri, 24 May 2013 12:06:53 +0000

In a report published on Friday, Jefferies analyst Omotayo Okusanya raised the price target on DDR Corp (NYSE: DDR) and upgraded it to a Buy rating.

In the report, Jefferies noted, "DDR remains focused on internal as well as external growth. The continued balance sheet improvement was just rewarded by Fitch on 05/22 with an upgrade to BBB- (investment ...

UPDATE: Canaccord Genuity Downgrades Cirrus Logic as ASPs Gross Margins Come Under Pressure

Sam Liu — Fri, 24 May 2013 11:52:02 +0000

In a report published Friday, Canaccord Genuity analyst Bobby Burleson downgraded Cirrus Logic (NASDAQ: CRUS) to a Hold rating, and lowered the price target from $25.00 to $18.00.

In the report, Canaccord Genuity noted, "In light of fairly recent guidance for flat to slight F2014 revenue growth and an expectation for rebounding gross ...