TD Cowen Downgrades Fortive Corporation (FTV) Stock

Fortive Corporation (NYSE:FTV) is one of the Best Beaten Down Stocks to Buy Now. TD Cowen downgraded the company’s stock to “Hold” from “Buy” with a price objective of $50, down from the prior target of $85, as reported by The Fly. Following the spinoff of Ralliant, the thesis on the new Fortive becomes less clear, noted the firm’s analyst. The firm mentioned the concerns related to the company’s growth trajectory, highlighting that Fortive Corporation (NYSE:FTV)’s strongest business unit has been decelerating post a period of strong performance, with other segments struggling to cater to the expectations and lagging behind competitors.

A technician checking a calibration tool in a laboratory environment.

As per Fortive Corporation (NYSE:FTV)’s top management, the new Fortive emerges with a robust financial track record with strong FCF generation, ~50% recurring revenue, significant competitive advantages, and a strategic orientation towards attractive markets with healthy secular tailwinds. The renewed emphasis towards accelerating profitable growth via Fortive Business System, together with a new shareholder returns-focused capital allocation strategy, provides the company confidence in delivering strong returns.

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Disclosure: None. This article is originally published at Insider Monkey.