Goodrich "buy," target price raised

07/27/07 - D.A. Davidson & Co.

NEW YORK, July 27 (newratings.com) - Analyst JB Groh of DA Davidson maintains his "buy" rating on Goodrich Corporation (GR), while raising his estimates for the company. The 12-18 month target price has been raised from $66 to $77.

In a research note published this morning, the analyst mentions that the company has posted its EPS for the latest quarter ahead of the estimates and the consensus due to higher-than-expected margins across its divisions. Goodrich’s revenues for the quarter were marginally short of the estimates due to lower-than-expected revenues at the Nacelles and Interiors units, the analyst says. The company has raised its EPS and revenue guidance for 2007 from $3.20-$3.50 to $3.50- $3.60 and by $100 million to $6.5-$6.6 billion, respectively. The EPS estimates for 2007 and 2008 have been raised from $3.35 to $3.65 and from $3.85 to $4.25, respectively.