Analysts at Deutsche Bank on Wednesday lifted their price
targets on several stocks in the Aerospace & Defense Electronic
sector.
The firm said that the sector has rallied alongside the markets
year-to-date, and thus the names deserve higher multiples. The
analyst commented, "We expect 1Q results to largely support the
move higher, with OE production rates rising, and global airline
traffic/capacity growth continuing to support high SD/low DD
aftermarket growth."
Accordingly, Deutsche Bank made the following target
adjustments:
- The Boeing Company (
BA
) - "Buy" rating, price target raised from $83 to $86 (22%
upside).
- Northrop Grumman (
NOC
) - "Hold" rating, price target raised from $63 to $69 (16%
upside).
- Raytheon (
RTN
) - "Hold" rating, target upped from $45 to $51 (no upside).
- Lockheed Martin (
LMT
) "Hold" rating, target boosted from $80 to $84 (4%
downside).
- United Technologies (
UTX
) "Buy" rating, target raised from $89 to $94 (20% upside).
The Bottom Line
Shares of Boeing (
BA
) have a 2.49% dividend yield, based on last night's closing stock
price of $70.60. The stock has technical support in the $65-$70
price area. If the shares can firm up, we see overhead resistance
around the $75-$76 price levels. Shares of Northrop Grumman (
NOC
) have a 3.35% dividend yield, based on last night's closing stock
price of $59.73. The stock has technical support in the $55 price
area. If the shares can firm up, we see overhead resistance around
the $62-$65 price levels. Shares of United Technologies (
UTX
) have a 2.45% dividend yield, based on last night's closing stock
price of $78.48. The stock has technical support in the $70-$75
price area. If the shares can firm up, we see overhead resistance
around the $83-$85 price levels. We have been recommending shares
of Lockheed Martin (
LMT
) since Sept.23, 2011, when the stock was trading at $73.14. The
company has a 4.56% dividend yield, based on last night's closing
stock price of $87.67. We have been recommending shares of Raytheon
(
RTN
) since Mar.23, when the stock was trading at $51.96. The company
has a 3.91% dividend yield, based on last night's closing stock
price of $51.09.
Lockheed Martin (
LMT
) and Raytheon (
RTN
) are both "Recommended" at this time, holding Dividend.com DARS™
Ratings of 3.5 stars.
Be sure to visit our complete recommended list of the
Best Dividend Stocks
, as well as a detailed explanation of
our ratings system here
.