Morgan Stanley Lifts Stanley Black & Decker Target to $87, Board OKs $0.83 Dividend
Morgan Stanley raised its price target on Stanley Black & Decker to $87 from $80, forecasting gross margin gains and EPS upside despite demand headwinds in the Tools & Outdoor segment. The board approved a quarterly cash dividend of $0.83 a share, payable March 24 to record holders March 10.
1. Price Target Increase
Morgan Stanley raised Stanley Black & Decker’s price target to $87 from $80 while maintaining an Equal Weight rating, revising its risk-reward outlook following the latest earnings. The firm highlighted potential EPS improvement driven by stronger gross margins but noted the absence of a clear catalyst for a sustained turnaround.
2. Dividend Approval
Stanley Black & Decker’s board approved a quarterly cash dividend of $0.83 a share, payable March 24 to shareholders of record on March 10, underscoring the company’s commitment to shareholder returns amid ongoing market challenges.
3. Segment Challenges
Competitive intensity and incomplete recovery in the Tools & Outdoor segment remain key headwinds, even as margin-expansion initiatives and stability in the Engineered Fastening business offer potential offsets to revenue pressures.