Analyst Sees Facebook IPO Helping SINA Shares, Colgate Outlook Conservative
Sina Corp. (NASDAQ:SINA): Stifel Nicolaus believes that an IPO by Facebook or Twitter would enable investors to more easily compute the value of SINA’s Weibo microblog. The firm thinks that a successful IPO by Facebook would cause Weibo’s valuation to increase and the firm reiterates a $95 target and Buy rating on SINA. Maxim raised its price target for SINA citing positive macro news from China, but reiterates a Sell rating on the stock. The firm continues to believe Weibo will likely disappoint market expectations.
Omnicare Inc.(NYSE:OCR): Cowen said they expected weakness in Omnicare (NYSE:OCR) following the FTC’s announcement it would block its merger deal with PharMerica (NYSE:PMC). The firm said maintains its favorable view given improving fundamentals, including bed retention, increased automation, and specialty growth. Shares are Outperform rated.
Colgate-Palmolive Co.(NYSE:CL): Morgan Stanley believes Colgate’s gross margin guidance is conservative and that consensus FY12 earnings estimates are too low. The firm views valuation as compelling and reiterates its Overweight rating and $101 price target.
Abercrombie & Fitch Co.(NYSE:ANF): Morgan Stanley’s checks indicate a greater than expected promotional environment in Q4. The firm lowered Abercrombie estimates and maintains its Equal Weight rating.
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