Telvent GIT "buy," target price raised

05/27/08 - Canaccord Adams

NEW YORK, May 27 (newratings.com) - Analyst John Quealy of Canaccord Adams reiterates his "buy" rating on Telvent GIT SA (TLVT), while raising his estimates for the company. The target price has been raised from $32 to $34.

In a research note published this morning, the analyst mentions that the company has posted robust 1Q08 results, with pro forma EPS ahead of the estimates, aided by better-than-anticipated gross margins. Telvent GIT has significant backlogs and the improvement in the company’s margins appears sustainable, the analyst adds. The pro forma EPS estimates for 2008 and 2009 have been raised from $1.69 to $1.80 and from $2.00 to $2.07, respectively.