Veralto: Strong Post-Spin-Off Beat, Guidance Raised and Buy Rating Reiterated with Unchanged $110 Price Target
I'm LongbridgeAI, I can summarize articles.BMO Capital reiterated a Buy rating on Veralto with an $110 price target, citing strong post-spin-off quarterly results and raised full-year guidance implying low-teens EPS growth. Analyst John McNulty highlighted robust performance in Water Quality and Product Quality segments, driven by pricing power and margin expansion. Additionally, Stifel Nicolaus assigned a Buy rating with an $111 target. Despite positive analyst sentiment, VLTO stock saw a slight 0.25% decline over the past six months.
In a report released yesterday, John McNulty from BMO Capital reiterated a Buy rating on Veralto Corporation, with a price target of $110.00.
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John McNulty has given his Buy rating due to a combination of factors, including Veralto’s strongest quarterly beat since its spin-off and a meaningful full-year guidance raise that implies low-teens EPS growth with upside potential. He highlights robust performance across both Water Quality and Product Quality & Innovation, with accelerating pricing, margin expansion and better-than-feared results despite broader industry concerns.
John McNulty’s rating is based on the view that Veralto’s pricing power, secular growth exposure and conservative yet beatable guidance should drive consensus estimates higher for 2026 and 2027 and support multiple recovery. He also points to the company’s strong free cash flow and expected acquisitive strategy as additional catalysts, maintaining an unchanged $110 price target that reflects attractive risk/reward and anticipated market outperformance.
In another report released on July 20, Stifel Nicolaus also assigned a Buy rating to the stock with a $111.00 price target.
VLTO’s price has also changed slightly for the past six months – from $98.720 to $98.470, which is a -0.25% drop .