Analysts’ recommendations for FMC Technologies
In this part, we’ll look at changes in Wall Street analysts’ recommendations for FMC Technologies (FTI) in 2016.
In November, 34% of the analysts tracking FMC Technologies rated it a “buy” or some equivalent. Approximately 55% of the analysts tracking FMC Technologies rated the company a “hold.” Only 3% of the analysts recommended either “underperform” or “sell.” In comparison, ~83% of the analysts tracking Schlumberger (SLB) rated it a “buy” or some equivalent in November.
Analysts changed their recommendations
There were six broker rating changes for FMC Technologies in 2016. UBS (UBS), a global investment bank, upgraded its rating to “buy” on October 20. Capital One Securities, an independent financial advisor, upgraded FMC Technologies’ rating to “sector perform” in August 2016.
In May, global investment bank Barclays (BCS) downgraded FMC Technologies’ rating to “equal weight.” FMC Technologies accounts for 0.45% of the iShares North American Natural Resources ETF (IGE). The Oil & Gas Equipment & Services sector makes up 13.3% of IGE.
Analysts’ target prices
The highest target price for FMC Technologies is $47, while the lowest is $20. The median target price, surveyed among the sell-side analysts, for FMC Technologies is $34.50. Currently, FMC Technologies is trading at ~$36.3. It implies ~5% downside at its median price.
To learn more about the OFS industry, read The Oilfield Equipment and Services Industry: A Primer.