In a report released today, Josh Sullivan from Benchmark Co. maintained a Buy rating on Parsons (PSN – Research Report), with a price target of $90.00.
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Josh Sullivan has given his Buy rating due to a combination of factors influencing Parsons’ future performance. Despite the uncertainty introduced by the Department of State’s reorganization, which has led to the removal of a significant classified contract from Parsons’ FY25 guidance, Sullivan sees potential in the company’s ability to navigate these challenges.
Parsons’ adjusted EBITDA forecast for FY25 has been revised to a range of $590M-$630M, down from the previous $640M-$710M. Even though this adjustment reflects a more conservative outlook, the company is expected to provide further insights at upcoming conferences, which may offer additional context and clarity. Sullivan’s rating suggests confidence in Parsons’ capacity to manage its exposure to classified contracts and adapt to changes in the geopolitical landscape.
In another report released today, Bank of America Securities also maintained a Buy rating on the stock with a $95.00 price target.