Bull of the Day: Alliant Techsystems - Bull of the Day

Comment

Shutterstock photo

Alliant Techsystems ( ATK ) reported favorable top- and bottom-line results in the second quarter of fiscal 2013 with both lines beating the Zacks Consensus Estimate. The solid performance stemmed from higher booking orders and high-profile defense and aerospace contract wins.

We anticipate Alliant to capitalize significantly on defense and aerospace deals gained during the quarter. Furthermore, the company's dividend hike of 30% would add value to its investors and win their confidence over the long term. We believe Alliant's recently incorporated business segment realignment strategy will enable the company to improve its operational efficiency while benefiting margins.

However, the imminent threat of defense budget cuts could constrict growth opportunities of the company. We reaffirm our Outperform recommendation on the stock.

ALLIANT TECHSYS (ATK): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.



This article appears in: Investing , Investing Ideas , Stocks


More from Zacks.com

Subscribe






Zacks.com
Contributor:

Zacks.com

Equity Research
Follow on:

Find a Credit Card

Select a credit card product by:
Select an offer:
Search
Data Provided by BankRate.com