logo
  Join        Login             Stock Quote

Deutsche Bank Lifts Price Target On Manpower (MAN) To $55, Reiterates 'Buy'

 April 23, 2012 02:58 PM
 


(By Balachander S) Deutsche Bank (DB) lifted its price target on shares of Manpower Inc. (NYSE:MAN) to $55 from $52 due to increased confidence in its forward estimates, while reiterating its "Buy" rating due to the undemanding valuation and strong operating results.

Surprisingly good results in Europe offset weakness in the US, the bank said. "Exactly opposite of how we expected it, but MAN's 1Q results beat none the less. We like the stock here and now as we think there is a good chance that going into 3Q organic rev trends can either stabilize or improve," DB wrote in a note.

The bank is of the view that MAN's focus on efficiency, RPO, and perm will continue to allow better operating leverage than historically seen. Key downside risks include incremental European economic weakness, increased pricing pressure due to slow growth, weaker-than-expected incremental margins, negative regulatory developments post elections in key markets, or a stronger US dollar, DB noted.

[Related -Manpower Group, Inc. (MAN): 53% Gain On Jobs And Emerging Markets]

DB said the YoY revenue declines in the first two weeks of April are similar to March for ManpowerGroup, as recent French and Dutch temp market data showed. "Intra-quarter, we think MAN will trade on European PMIs and other key European indicators. If investors get confident about European trends improving, we believe MAN will break out of its trading range," the bank wrote.

Milwaukee, Wisconsin-based Manpower provides workforce solutions and services worldwide. The company offers permanent, temporary, and contract recruitment services; assessment and selection services; training and development services; outsourcing services; and workforce consulting services.

[Related -A Soft End to the Week]

MAN shares retreated 2.80 percent to trade at $43.66. In the past 52 weeks, the stock has been trading between $31.81 and $68.00.

iOnTheMarket Premium
Advertisement

Advertisement


Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageShould You Invest In The Hottest New Trend In Finance?

Thanks to major changes in regulation, social media and technology, the business of banking has undergone read on...

article imageStrong Attractor in Action Pulling S&P 500 Down

The attractor is formed by the 200-day moving average and the 50% Fibonacci retracement of the up move from read on...

article imageIs The Weak Housing Market A Warning Sign For The US Economy?

Today’s US economic releases – housing starts and business survey data for the manufacturing sector – read on...

article imageShort-term Pullback or Something Worse?

A few weeks ago when we called for a short-term pullback of 4 to 5%, it was due solely to the short-term read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.