L-3 Communications Holdings "neutral," target price raised - update

01/08/07 - Prudential Financial

NEW YORK, January 8 (newratings.com) - Analyst Byron Callan of Prudential Financial maintains his "neutral" rating on L-3 Communications Holdings (LLL). The target price has been raised from $86 to $89.

In a research note published on January 5, the analyst mentions that the upward revision in the target price reflects a change in the base year. The analyst expects L-3 Communications Holdings to post its EPS in 2007 above the consensus and the guidance, partly on account of additional sales related to the Linguist programme. The shift in the company's strategy towards more efficient capital allocation is encouraging, Prudential Financial adds.