Nucor earnings beat by $0.08, revenue fell short of estimates
TD Cowen has maintained a Buy rating on shares of Napco Security Technologies, Inc. (NASDAQ: NASDAQ:NSSC) with a consistent price target of $60.00.
The firm's stance comes despite the stock's notable sell-off following a financial report that matched most analysts' expectations, including those of TD Cowen.
The report, which detailed the company's revenue, adjusted EBITDA, and EPS, triggered a sell-off of Napco shares even though the figures aligned with many published estimates.
TD Cowen highlighted management's confidence in the company's fiscal year 2025 outlook, as demonstrated by another increase in the quarterly cash dividend.
TD Cowen's analysis indicates that the potential for Napco Security Technologies remains particularly attractive.
The firm's projections for the fiscal years 2025 and 2026 remain mostly unchanged, reinforcing the positive outlook on the stock. The reiterated Buy rating and $60 price target reflect TD Cowen's continued confidence in the company's performance.
The reiteration of the Buy rating and price target by TD Cowen suggests that the firm believes in the long-term value proposition of Napco Security Technologies.
In other recent news, Napco Security reported strong Q4 earnings that exceeded expectations, with revenues increasing by 13% year-over-year, outstripping the consensus forecast of a 12% rise.
The company's earnings per share for the quarter jumped 28% compared to the same period last year, thanks to improved gross margins and continued strength in recurring revenues. Needham has adjusted its fiscal year 2025 estimates upward and introduced a forecast for fiscal year 2026, anticipating a 15% growth in revenue and a 22% increase in EPS, reaffirming their Buy recommendation.
Meanwhile, Lake Street Capital Markets increased its price target for Napco Security Technologies, citing significant growth in both top and bottom lines. The firm believes the company is on track with its financial goals, which include $150 million in equipment revenue, $150 million in recurring revenue, and a 45% adjusted EBITDA margin. Lake Street Capital Markets reiterated its Buy rating for Napco, expressing confidence in the company's growth model and recent performance.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.