There’s a lot to be optimistic about in the Consumer Goods sector as 3 analysts just weighed in on Motorcar Parts Of America (MPAA), Select Interior Concepts Inc (SIC) and Koppers Holdings Inc (KOP) with bullish sentiments.
Motorcar Parts Of America (MPAA)
In a report released today, Christopher Van Horn from B.Riley FBR reiterated a Buy rating on Motorcar Parts Of America, with a price target of $39. The company’s shares closed yesterday at $16.32.
Van Horn observed:
“America (MPAA) reported FY1Q20 BMO on August 8 that were in line with our expectations but the stock could be at an inflection point as FY20 is expected to finish strong. We continue to believe the company will outperform its peers given its market share expansion and new product launches in FY2020. We think the company can report top-line growth of at least 16% and maintain adj. gross margins at 27% in FY2020. However, we expect that 2Q20 will face some margin headwinds (relative to the 27%) as the company continues to integrate new business and recent acquisitions with the back half seeing meaningful upside in margins relative to the first half. As a result, we are maintaining our revenue estimates for FY2020 while slightly raising our operating margin and EPS expectations.”
According to TipRanks.com, Horn is a 3-star analyst with an average return of 0.7% and a 46.2% success rate. Horn covers the Consumer Goods sector, focusing on stocks such as Standard Motor Products, Cooper Tire Rubber, and Dorman Products.
Currently, the analyst consensus on Motorcar Parts Of America is a Moderate Buy with an average price target of $39.
See today’s analyst top recommended stocks >>
Select Interior Concepts Inc (SIC)
In a report released yesterday, Alex Rygiel from B.Riley FBR reiterated a Buy rating on Select Interior Concepts Inc, with a price target of $17. The company’s shares closed yesterday at $11.04.
Rygiel noted:
“Earlier this morning (8/8), Select Interior Concepts, Inc. (SIC) announced 2Q19 results which were mostly in line with our estimates. The company generated 1.6% organic growth despite the negative housing market dynamics within its geographies, especially in SoCal. We believe this continues to show SIC’s success in cross selling activities, ability to realize positive price/ mix, benefits of its greenfield strategy, and M&A integration efforts. As we enter the seasonally stronger 2H, we believe SIC can grow and drive sequential margin improvement as the business model continues to gain leverage. We are leaving our EBITDA estimate mostly unchanged and reiterate our $17 price target and Buy rating.”
According to TipRanks.com, Rygiel is a 4-star analyst with an average return of 6.0% and a 56.4% success rate. Rygiel covers the Basic Materials sector, focusing on stocks such as Granite Construction Inc, Tutor Perini Corp, and Quanta Services.
Currently, the analyst consensus on Select Interior Concepts Inc is a Moderate Buy with an average price target of $16.
Koppers Holdings Inc (KOP)
In a report released today, Liam Burke from B.Riley FBR maintained a Buy rating on Koppers Holdings Inc, with a price target of $40. The company’s shares closed yesterday at $27.97.
Burke commented:
“Koppers Holdings (KOP) reported 2Q19 adjusted EPS of $1.16 compared to $0.93 a year ago. Results compare to consensus adjusted EPS estimates of $0.96. After facing tough comparisons in 1Q19, Koppers faced somewhat easier comps with revenue growth of 7.8% on higher volumes and a favorable pricing environment at RUP . Adjusted EBITDA margins were higher by 100 basis points (13.7% vs. 12.7%). Adjusted EBITDA margins reflected an improved profit performance from all three business segments and the benefits of the company’s efforts to re-position the business for more profitable growth. For the first half of 2019, Koppers generated negative free cash flow but the company expects to generate free cash flow of $70 million to $80 million with free cash flow stronger in the second half of 2019. We believe shares remain undervalued.”
According to TipRanks.com, Burke is ranked #4616 out of 5247 analysts.
The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Koppers Holdings Inc with a $37.50 average price target.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
