tiprankstipranks
Ratings

Vontier’s Strong Performance and Attractive Valuation: A Buy Recommendation

Vontier’s Strong Performance and Attractive Valuation: A Buy Recommendation

Bank of America Securities analyst Andrew Obin reiterated a Buy rating on Vontier (VNTResearch Report) today and set a price target of $45.00.

Discover the Best Stocks and Maximize Your Portfolio:

Andrew Obin has given his Buy rating due to a combination of factors, including Vontier’s strong performance in the fourth quarter of 2024 and its credible guidance for 2025. The company has shown a significant year-over-year growth in orders, benefiting from a multi-year replacement cycle for underground tank equipment, which supports its positive revenue outlook. Additionally, Vontier’s shares are trading at a lower valuation compared to peers, despite having similar margins and earnings growth potential, making it an attractive investment opportunity.
Moreover, Vontier’s core orders have shown robust growth, and the company is experiencing a fading of previous headwinds. The demand for various products such as payment offerings and fuel equipment remains strong, while recurring revenue streams are offsetting any declines in other segments. The anticipated carryover benefits from cost actions in 2024 and potential share repurchases further enhance the upside potential, reinforcing the Buy recommendation.

In another report released today, Barclays also maintained a Buy rating on the stock with a $46.00 price target.

1