Coca-Cola Ent., Broadcom: Ratings Changes

Coca-Cola Enterprises, Broadcom and Stanley Black & Decker had their ratings changed at TheStreet.
Author:
Publish date:

BOSTON (TheStreet) --Coca-Cola Enterprises (CCE) , Broadcom (BRCM) and Stanley Black & Decker (SWK) - Get Report had their ratings changed by TheStreet's stock model.

3.

The model downgraded toolmaker Stanley Black & Decker to "hold."

Quarter

: Stanley swung to a first-quarter loss of $109 million, or $1.09 a share, from a profit of $38 million, or 48 cents, a year earlier. Revenue grew 38%. The operating margin stretched from 12% to 13%. Stanley has $1.5 billion of cash and $3.5 billion of debt.

Stock

: Stanley has advanced 74% during the past year, outpacing U.S. stock-market indices. It trades at a price-to-projected-earnings ratio of 15, a 44% discount to its peer average. It's expensive based on trailing earnings. The shares pay a 2.1% dividend yield.

Consensus

: Of analysts covering Stanley, seven, or 70%, advise purchasing its shares and three recommend holding them.

Credit Suisse

(CS) - Get Report

expects the stock to gain 15% to $74.

Deutsche Bank

(DB) - Get Report

predicts that it will rise 9% to $70.

2.

The model upgraded bottler Coca-Cola Enterprises to "buy."

Quarter

: First-quarter net income surged 74% to $106 million and earnings per share climbed 62% to 21 cents. Revenue declined 1.6%. The operating margin inched up from 5.7% to 6.3%. The company has $972 million of cash and $8.7 billion of debt.

Stock

: Coca-Cola Enterprises has risen 76% during the past 12 months, more than stock-market benchmarks. It sells for a price-to-sales ratio of 0.6 and a price-to-cash-flow ratio of 8.5, 81% and 32% discounts to peer averages. It's costly based on book value.

Consensus

: Of researchers following Coca-Cola Enterprises, five rate its stock "buy" and seven rate it "hold."

Barclays

(BCS) - Get Report

foresees the stock hitting $34, leaving a potential 22% return.

UBS

(UBS) - Get Report

believes it will climb 14% to $32.

1.

The model upgraded semiconductor maker Broadcom to "buy."

Quarter

: Broadcom swung to a first-quarter profit of $210 million, or 40 cents, from a loss of $92 million, or 19 cents, a year earlier. Revenue soared 71%. The operating margin turned positive. The balance sheet holds $2 billion of cash and no debt.

Stock

: Broadcom has increased 53% during the past year, more than stock-market indices. It trades at a price-to-projected-earnings ratio of 16, on par with competitors' shares. It is expensive when considering trailing earnings and book value.

Consensus

: Of firms rating Broadcom, 28, or 70%, advocate purchasing its shares, 10 recommend holding and two suggest selling them.

JPMorgan

(JPM) - Get Report

believes the stock will climb 27% to $45.

Thomas Weisel

(TWPG)

expects it to hit $43.

Visit Stockpickr's

Ratings Upgrades Portfolio

and

Ratings Downgrades Portfolio

-- Reported by Jake Lynch in Boston.