Keysight Technologies, the Technology sector company, was revisited by a Wall Street analyst today. Analyst David Ridley Lane from Bank of America Securities reiterated a Hold rating on the stock and has a $179.00 price target.
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David Ridley Lane’s rating is based on several factors that influence Keysight Technologies’ financial outlook. Despite facing challenges from increased tariffs, Keysight has managed to raise its guidance, expecting a 7% year-over-year revenue growth and a 13% increase in adjusted EPS for FY25. However, the company’s core orders growth was slightly below expectations, and the demand recovery pace remains uncertain, which adds a level of caution to the outlook.
Additionally, while Keysight’s adjusted EPS and revenue have exceeded estimates, the company’s valuation is aligned with its peers, reflecting its above-average margins but below-peer EPS growth. The book-to-bill ratio and core orders growth suggest a stable but not robust demand environment. These mixed signals contribute to the Hold rating, as the stock’s potential upside appears balanced by the existing challenges and uncertainties.
Based on the recent corporate insider activity of 101 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of KEYS in relation to earlier this year.