Sales, EPS Gains From AN&H Already Reflected In BCPC Stock

Analysts at Sidoti & Company downgrade Balchem Corporation (NASDAQ: BCPC) from “buy” to “neutral.” The target price for BCPC is set to $25.

The downgrade in rating is based on valuation, since there seems to be limited upside to the target price, the analysts say. “Balchem’s price has risen 40% in the past six months, compared with a 15% increase in the Russell 2000 Index, and we think the EPS gains we model through 2011 are almost completely reflected in the stock price,” according to Sidoti & Company.

“We are bullish on BCPC’s long-term outlook; we think strong demand for its Animal Nutrition and Health products and commercialization of the new banana ripening system will fuel a 20% CAGR for EPS over the next five years,” the analysts add.

More Analyst Ratings here