FARO Technologies (NASDAQ:FARO) was downgraded by equities researchers at Stifel Nicolaus from a “buy” rating to a “hold” rating in a research report issued on Tuesday, TheFlyOnTheWall.com reports. They currently have a $50.00 price objective on the stock. Stifel Nicolaus’ price target suggests a potential downside of 6.65% from the stock’s previous close.
The analysts wrote, “We are downgrading shares of FARO Technologies from Buy to Hold as shares have eclipsed our $50 price target and our analysis indicates a neutral reward to risk profile at current levels given: (1) FARO’s premium valuation relative to historical norms and comparable companies on a P/E basis; (2) our analysis indicating investor expectations are beginning to embed aggressive leverage and earnings power in excess of our above consensus 2015 estimates (implicit $2.50/share +); (3) increasing execution risk; (4) our view that impressive laser scanner growth (FLS and X 330) remains sub-scale; and (5) creeping concerns the Arm business is reaching adoption/penetration levels that are likely to negatively impact future growth relative to FARO’s historical high-teens organic revenue growth rate (17% revenue CAGR 2000-2012).”
Other equities research analysts have also recently issued reports about the stock. Analysts at Zacks upgraded shares of FARO Technologies from a “neutral” rating to an “outperform” rating in a research note to investors on Monday, November 4th. They now have a $51.50 price target on the stock. Separately, analysts at Needham & Company downgraded shares of FARO Technologies from a “buy” rating to a “hold” rating in a research note to investors on Wednesday, October 2nd. Four research analysts have rated the stock with a hold rating and one has given a buy rating to the company’s stock. The stock has a consensus rating of “Hold” and an average price target of $46.83.
In other FARO Technologies news, CFO Keith Bair sold 14,846 shares of the company’s stock in a transaction dated Tuesday, November 5th. The stock was sold at an average price of $51.89, for a total transaction of $770,358.94. Following the completion of the transaction, the chief financial officer now directly owns 3,260 shares of the company’s stock, valued at approximately $169,161. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link.
FARO Technologies (NASDAQ:FARO) traded down 2.07% on Tuesday, hitting $52.45. 42,540 shares of the company’s stock traded hands. FARO Technologies has a 52 week low of $31.10 and a 52 week high of $54.12. The stock has a 50-day moving average of $43.44 and a 200-day moving average of $38.57. The company has a market cap of $897.6 million and a P/E ratio of 43.58.
FARO Technologies (NASDAQ:FARO) last posted its quarterly earnings results on Thursday, October 31st. The company reported $0.29 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.21 by $0.08. The company had revenue of $68.20 million for the quarter, compared to the consensus estimate of $66.27 million. During the same quarter in the prior year, the company posted $0.21 earnings per share. The company’s quarterly revenue was up 12.4% on a year-over-year basis. Analysts expect that FARO Technologies will post $1.27 EPS for the current fiscal year.
FARO Technologies, Inc designs, develops, manufactures, markets and supports portable, software driven, three-dimensional (NASDAQ:FARO) measurement and imaging systems used in a range of manufacturing, industrial, building construction and forensic applications.
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