Ahead Of The Bell: MTS Systems Downgraded

NEW YORK (AP) — An analyst Friday downgraded shares of MTS Systems Corp. because the stock of the industrial testing and position sensing equipment maker reached what he considers fair value.

Liam D. Burke of Janney Montgomery Scott downgraded the stock of the Eden Prairie, Minn., company to "Neutral" from "Buy."

"Although business is getting no worse and the company is continuing to generate earnings and free cash flow, MTS shares are fairly valued," which he puts at $30.

The stock closed Thursday at $30.26. In the last 52 weeks it has ranged from $19.75 to $43.81.

"The company continues to manage the business for long-term growth during a period of economic uncertainty and is capable of generating those results over the long-term," Burke wrote in a client note.