TD Cowen upgrades Roper Technologies on ‘negligible’ tariff risk

TD Cowen upgraded Roper Technologies (ROP) to Buy from Hold with a price target of $615, up from $535. Given macroeconomic and policy uncertainty, Roper’s 85% U.S. exposure and “negligible” tariff risk becomes increasingly attractive, potentially to both industrial and tech investors, the analyst tells investors in a research note. TD says there’s a case to be made that Purchasing Managers’ Index levels could stagnate around the 50 level, causing some to question the likelihood of a near-term cyclical acceleration in industrial markets “that has yet had little real evidence.” In that scenario, industrial investors might look to Roper as an “interesting alternative with stable, recurring, accelerating growth,” according to the firm.