In a report released today, Damian Karas from UBS upgraded Crane Company (CR – Research Report) to a Buy, with a price target of $190.00.
Damian Karas has given his Buy rating due to a combination of factors that highlight Crane Company’s strong financial position and growth potential. The company’s robust balance sheet, with a net leverage of -0.4x, positions it well to capitalize on market opportunities, including mergers and acquisitions, which are not fully reflected in the current stock price. The recent market correction presents an attractive entry point, as the stock is undervalued relative to its long-term earnings potential and forecasted sales growth.
Furthermore, Crane Company’s performance in the aerospace and defense sector strengthens the Buy rating. The company has demonstrated resilience and growth potential, with management confident in achieving long-term growth targets. The company’s strategic focus on areas with limited competition, such as modular power converters and AESA radar, supports this outlook. Additionally, the potential for significant earnings per share accretion from future M&A activities adds to the positive investment thesis, with the company maintaining a disciplined approach to capital deployment.
In another report released on April 14, Deutsche Bank also maintained a Buy rating on the stock with a $186.00 price target.