Zacks Investment Research upgraded shares of ABB (NYSE:ABB) from a sell rating to a hold rating in a research report sent to investors on Thursday morning, Zacks.com reports. They currently have $21.00 price objective on the industrial products company’s stock.
According to Zacks, “ABB expects that its state-of-the-art digital offering — ABB Ability — financial strength, technological expertise, strong market presence and wide geographical business scope will aid in bolstering profitability over the long term. In addition, strategic corporate collaboration deals with renowned companies are also expected to be beneficial. Also, stronger productivity and diligent cost-cutting initiatives will likely improve its operational efficacy over time. However, the company’s shares have underperformed the industry, year to date. Rising cost of sales remains a major concern for the company. If unchecked, higher costs and operating expenses will prove detrimental to its margins and profitability. Moreover, increase in debt levels can impact the company's financial obligations.”
Several other research analysts also recently weighed in on the stock. UBS Group restated a hold rating and issued a $20.50 target price on shares of ABB in a research note on Thursday, July 25th. ValuEngine raised shares of ABB from a sell rating to a hold rating in a report on Monday, August 12th. Deutsche Bank reaffirmed a buy rating and issued a $23.00 price objective on shares of ABB in a report on Friday, July 26th. Morgan Stanley reaffirmed a hold rating and issued a $20.10 price objective on shares of ABB in a report on Friday, July 26th. Finally, Vertical Research upgraded shares of ABB from a sell rating to a hold rating in a research report on Friday, July 26th. Two investment analysts have rated the stock with a sell rating, ten have issued a hold rating and four have assigned a buy rating to the stock. ABB presently has a consensus rating of Hold and an average price target of $20.09.
ABB (NYSE:ABB) last issued its quarterly earnings results on Thursday, July 25th. The industrial products company reported $0.34 EPS for the quarter, topping the consensus estimate of $0.26 by $0.08. ABB had a net margin of 4.95% and a return on equity of 18.97%. The firm had revenue of $7.17 billion during the quarter, compared to analyst estimates of $7.21 billion. During the same quarter in the prior year, the business posted $0.38 earnings per share. ABB’s revenue for the quarter was up 6.5% compared to the same quarter last year. On average, equities research analysts expect that ABB will post 0.86 earnings per share for the current year.
Large investors have recently made changes to their positions in the business. Cornerstone Advisors Inc. grew its position in shares of ABB by 76.4% during the 1st quarter. Cornerstone Advisors Inc. now owns 1,390 shares of the industrial products company’s stock worth $26,000 after buying an additional 602 shares during the period. Oakworth Capital Inc. bought a new stake in shares of ABB during the 2nd quarter worth approximately $26,000. Bremer Bank National Association bought a new stake in ABB in the 1st quarter valued at $29,000. Institutional & Family Asset Management LLC bought a new stake in ABB in the 1st quarter valued at $35,000. Finally, Doyle Wealth Management bought a new stake in ABB in the 2nd quarter valued at $37,000. 4.33% of the stock is owned by hedge funds and other institutional investors.
ABB Ltd manufactures and sells electrification, industrial automation, and robotics and motion products for customers in utilities, industry and transport, and infrastructure worldwide. Its Electrification Products segment provides electric vehicle charging infrastructure, solar power solutions, modular substation packages, distribution automation products, switchboard and panel boards, switchgears, UPS solutions, circuit breakers, measuring and sensing devices, control products, wiring accessories, enclosures and cabling systems, and intelligent home and building solutions.
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