United Technologies (UTX) Stock Declined After Credit Suisse Lowered Price Target

NEW YORK (TheStreet) -- Shares of United Technologies Corp. (UTX) are declining 1.18% to $113.87 after Credit Suisse lowered its price target to $135 from $137 while maintaining its "outperform" rating.

United Technologies provides high technology products and services to the building systems and aerospace industries through Otis; UTC Climate, Controls & Security; Pratt & Whitney; UTC Aerospace Systems and its Sikorsky segments.

The firm lowered 2015 earnings estimates to $6.83 from $6.94, with 2016 and 2017 earnings estimates reduced to $7.43 from $7.53, and $7.87 from $8.02 per share, respectively.

"Due to the high incremental margins on the affected businesses, we assume Otis and UTAS miss the earnings guidance for 2015, with Pratt likely to come in at the low end of the range, due to commercial aftermarket," Credit Suisse analysts said.

However, United Technologies believes that the fourth quarter should be better as Sikorsky will experience a 30% reduction in its manufacturing footprint underlines the scope for further cost-cutting, Credit Suisse added.

Separately, TheStreet Ratings team rates UNITED TECHNOLOGIES CORP as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:

"We rate UNITED TECHNOLOGIES CORP (UTX) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, increase in net income, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel its strengths outweigh the fact that the company shows low profit margins."

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