ABB Ltd. (ABB) Rating Increased to Buy at Zacks Investment Research
ABB Ltd. (NYSE:ABB) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued to investors on Tuesday. The brokerage presently has a $25.00 price objective on the stock. Zacks Investment Research’s target price would indicate a potential upside of 11.06% from the stock’s previous close.
According to Zacks, “ABB has a decent earnings history, with three beats and one miss in the four trailing quarters. ABB is one of the best managed industrial infrastructure, power and automation companies in the world that stands to benefit from investments made in the upgrade of power infrastructure. ABB’s proven “Next Level Strategy” and focused investments in three strategic areas, namely, growth, execution and business-led collaboration are expected to propel growth. The company has made significant progress in all the three areas during the quarter that were conducive to the quarterly results. Going forward, the company’s three major customers in utilities, industry and transport & infrastructure are anticipated to drive growth. However, on the flip side, volatility in the oil & gas industry and currency fluctuations are expected to pose as major headwinds, marring the company’s prospects.”
Several other brokerages also recently commented on ABB. HSBC downgraded shares of ABB from a “buy” rating to a “hold” rating in a research report on Friday, August 19th. BNP Paribas upgraded ABB from an “underperform” rating to an “outperform” rating in a report on Thursday, September 1st. Deutsche Bank AG upgraded ABB from a “sell” rating to a “hold” rating in a report on Friday, July 22nd. Finally, JPMorgan Chase & Co. reiterated a “neutral” rating on shares of ABB in a report on Monday, June 13th. Three equities research analysts have rated the stock with a sell rating, nine have issued a hold rating and four have assigned a buy rating to the company. ABB has a consensus rating of “Hold” and a consensus target price of $23.30.
ABB (NYSE:ABB) opened at 22.51 on Tuesday. The firm has a 50 day moving average of $22.00 and a 200 day moving average of $20.59. The firm has a market capitalization of $47.88 billion, a P/E ratio of 29.20 and a beta of 1.33. ABB has a 12-month low of $15.74 and a 12-month high of $22.78.
ABB (NYSE:ABB) last announced its quarterly earnings data on Thursday, July 21st. The company reported $0.35 EPS for the quarter, topping the consensus estimate of $0.26 by $0.09. The company earned $8.68 billion during the quarter, compared to the consensus estimate of $8.83 billion. ABB had a net margin of 4.91% and a return on equity of 16.86%. The company’s quarterly revenue was down 5.3% on a year-over-year basis. During the same quarter last year, the firm posted $0.33 EPS. On average, analysts forecast that ABB will post $1.08 EPS for the current fiscal year.
Several large investors have recently made changes to their positions in the stock. Lincluden Management Ltd. raised its stake in shares of ABB by 18.3% in the second quarter. Lincluden Management Ltd. now owns 140,291 shares of the company’s stock valued at $2,782,000 after buying an additional 21,748 shares in the last quarter. Schafer Cullen Capital Management Inc. raised its stake in shares of ABB by 7.3% in the second quarter. Schafer Cullen Capital Management Inc. now owns 3,697,586 shares of the company’s stock valued at $73,323,000 after buying an additional 251,597 shares in the last quarter. Cullen Capital Management LLC raised its stake in shares of ABB by 9.9% in the second quarter. Cullen Capital Management LLC now owns 314,450 shares of the company’s stock valued at $6,236,000 after buying an additional 28,300 shares in the last quarter. Cubist Systematic Strategies LLC acquired a new stake in shares of ABB during the second quarter valued at about $757,000. Finally, Paloma Partners Management Co acquired a new stake in shares of ABB during the second quarter valued at about $213,000. 3.28% of the stock is owned by hedge funds and other institutional investors.
ABB Company Profile
ABB Ltd (ABB) is engaged in power and automation technologies. The Company manages its business based on five divisions: Discrete Automation and Motion, Low Voltage Products, Process Automation, Power Products and Power Systems. The Discrete Automation and Motion division provides low-voltage and medium-voltage drive products and systems for industrial, commercial and residential applications.
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