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Research Alert: CFRA Maintains Hold Opinion On Shares Of Motorola Solutions, Inc.

05/10/2021 02:02

05:55 AM EDT, 05/10/2021 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our 12-month target price by $30 to $220, 25.1x our '21 EPS estimate, comparable to its 10-year historical average P/E at 25.9x, reflecting recent strong results. We increase our '21 EPS estimate by $0.15 to $8.77 and raise '22's by $0.16 to $9.72. MSI reported Q1 operating EPS of $1.87 vs $1.49, $0.25 above consensus. Q1 revenue increased 7%, driven by 15% growth in the Software and Services segment, on strong demand for land mobile radio services, video security, and command center software, while the Product and Systems Integration segment grew 2%, with growth in video security and professional and commercial radio, partially offset by lower sales of public safety land mobile radios. The impact of the global semiconductor component shortage has been minimal so far, but the rapid increase in freight cost has been a drag on margin levels. We believe MSI delivered very strong Q1 results and its record backlog of $11.3 billion will support ongoing growth.