Flowserve price target raised to $42 from $40 at RBC Capital

RBC Capital raised the firm’s price target on Flowserve to $42 from $40 and keeps a Sector Perform rating on the shares. The company reported an impressive Q2 earnings beat, and while there were pockets of destocking at distribution channels, the impacts were modest and offset by strong project funnel and overall bookings activity, the analyst tells investors in a research note. RBC adds however that Flowserve needs to show consistent order conversion to be confident that Flowserve has turned the corner.