DMC risk/reward 'compelling' after selloff on guidance cut, says Stifel - InvestingChannel

DMC risk/reward ‘compelling’ after selloff on guidance cut, says Stifel

Stifel analyst Stephen Gengaro lowered his estimates for DMC Global and cut his price tater for the shares to $59 from $66 following the company’s reduced Q4 guidance and a recalibration of his industry activity expectations for 2020 and 2021. The stock closed Tuesday down 17% to $43.35. However, the analyst continues to believe DMC Global’s “industry-leading” DynaEnergetics integrated perforating system is well positioned for growth over the next few years as the industry moves to integrated systems over components. He views the stock’s risk/reward as “compelling” and keeps a Buy rating on the name.