Chart Industries: William Blair Highlights Key Takeaways From Management Meeting
In a research report released today, William Blair analyst Chase Jacobson maintained a Market Perform rating on Chart Industries (NASDAQ:GTLS) with a $67 price target.
Jacobson commented: “We spent two days last week meeting investors with management of Chart Industries. Our meetings focused on the company’s broad product offering and strong market share along the natural gas value chain, particularly for LNG-related equipment. While shares are down roughly 50% over the last 12 months and it is clear that Chart is well positioned to benefit from the increasing production and global use of natural gas, which is consistent with our prior view, we find it difficult to become more positive on shares at this level based on uncertainty of the company’s forward earnings trajectory, valuation, and the likelihood for further material downward consensus EPS revisions (in that order). Still, we came away from meetings more comfortable with the strategic rationale behind the recent La Crosse, Wisconsin, expansion and ongoing China expansion than we were following Chart’s analyst meeting in June; however, increased output from these facilities is still dependent on end-market growth (mainly related to LNG applications), the timing of which has been difficult to predict and remains highly uncertain, in our view.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Chase Jacobson has a total average return of 3.7% and a 35.7% success rate. Jacobson is ranked #1638 out of 3309 analysts.