03:30 PM EDT, 05/01/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We lift our 12-month price target by $8 to $74 on a forward P/E of 17x our 2025 EPS estimate, in line with the five-year forward average. We lift our 2024 EPS estimate by a slight $0.01 to $3.51 and 2025's by $0.06 to $4.35. Q1 sales declined 3% Y/Y on organic sales declines of 6% (-5% volume, -1% price) and unfavorable FX translation, partially offset by favorable portfolio impact from the Spectrum acquisition. Lower volumes were driven by continued channel inventory destocking in industrial-based businesses, partially offset by growth within electronics markets. DD's management noted destocking is bottoming out (expected volume growth in 2H), and subsequently raised its FY 2024 sales guidance to $12.1B-$12.4B from $11.9B-$12.3B, and adjusted EPS guidance to $3.45-$3.75 from $3.25-$3.65. DD posted Q1 EPS of $0.79, beating consensus by $0.14. Adjusted free cash flow (FCF) increased 65% Y/Y, and we expect FCF generated to be used for share buybacks as well as legal payouts with lingering PFAS lawsuits.