EADS "neutral," target price raised

09.11.06 - J.P. Morgan Securities

LONDON, November 9 (newratings.com) - Analysts at JP Morgan maintain their "neutral" rating on EADS (EAD), while raising their estimates for the company. The target price has been raised from ?18 to ?21.

In a research note published this morning, the analysts mention that the company has reported healthy 9M results. The reported EPS estimates for FY06 and FY07 have been raised from ?0.00 to ?0.15 and from ?1.60 to ?1.90, respectively, to reflect higher Airbus EBIT on account of improved underlying profitability and lower currency headwinds. The upward revision in the target price also reflects higher peer multiples, the analysts say.