Ametek Incorporated (AME)

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Ametek downgraded to "neutral"
04/23/08 - Next Generation

NEW YORK, April 23 (newratings.com) - Analyst Ned Borland of Next Generation downgrades Ametek Inc (AME) from "buy" to "neutral," while raising his estimates for the company. The target price has been raised from $52 to $54.

In a research note published yesterday, the analyst mentions that the company has posted robust 1Q08 results, with EPS ahead of the estimates, aided by its long cycle businesses. The downgrade in rating is based on valuation, the analyst says. Ametek is a continued beneficiary of the strength in the aerospace, power and process markets, according to Next Generation. The EPS estimates for 2008 and 2009 have been raised from $2.44 to $2.52 and from $2.72 to $2.82, respectively.