The St. Joe Company
) reported strong third quarter 2012 results with a healthy
year-over-year increase in revenue and EPS, with the latter
exceeding the Zacks Consensus Estimate by $0.18. St. Joe is one of
the largest real estate developers in Florida.
The company is presently focusing on developing the adjacent area
of the Panama-City Bay County Airport, which was opened in late
2010, to increase the future value of its holdings. However, St.
Joe's business is primarily concentrated in Florida, which was one
of the hardest hit states in the recession and had adversely
affected its bottom line in the recent past, thereby undermining
the future growth potential to some extent.
Our long-term Outperform recommendation on the stock indicates that
it would perform well above the broader market. Our target price of
$27.00, 158.8X 2012 EPS, factors in this view.
ST JOE CO (JOE): Free Stock Analysis Report
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