UBS Maintains Neutral Rating On Greenhill, Raises PT And EPS Estimates On Caliburn Acquisition (GHL)
Friday, March 19, 2010 - 07:07
Written on Fri, 03/19/2010 - 7:07am
By Chip Brian

3/19/2010- UBS analysts maintained their "neutral" rating on Greenhill (NYSE:GHL) and raised their price target to $87, up from $81, and 2010 and 2011 EPS estimates after the company announced it was acquiring Caliburn Partnership.
Analysts Glenn Schorr said, "In addition to making strategic sense and being a good cultural fit, the deal appears financially attractive. We think it will be accretive to EPS in year 1 and there are no integration headaches to worry about. As a result of the deal, we are increasing our 2010E EPS to $3.15 and our 2011E to $4.35, from $3.05 and $4.05, respectively."
Schorr added, "Greenhill remains well positioned to benefit from the expected uptick in M&A activity given its expanded MD advisory base and its broadened geographical footprint. That said, we see the stock as pretty fully valued. Our $87 price target (up from $81) is based on 20x our new 2011E EPS."

Keywords: greenhill

Ticker(s): GHL UBS

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