- Life sciences company Agilent ( NYSE: A ) traded lower in the early pre-market trading on Friday after Citi downgraded its shares to Neutral from Neutral, citing a change in sentiment due to recessionary fears and slowing growth. The price target lowered to $140 from $175 per share, indicates a premium of ~14% to the last close.
- The analysts led by Patrick Donnelly argue that the company’s industry-leading exposure to the industrial/applied end market remains a negative overhang on the sentiment amid concerns of a near/mid-term economic downturn.
- Despite a constructive view on the fundamentals, the analysts do not think that the investors are willing to assign a higher multiple for the company in the near-term.
- However, they acknowledge that the company’s earnings are less vulnerable, unlike when the last recession hit the U.S. in 2008.
- Wall Street has remained bullish on Agilent ( A ) stock, with an average rating of Buy from analysts in line with Seeking Alpha Author ratings. However, Seeking Alpha's quant system, which consistently beats the market, rated A as a Hold.
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Agilent cut to Neutral at Citi on macro headwinds