Analyst firm Singer Capital Markets is predicting U.K.-based Ashtead, parent company to Sunbelt Rentals and A-Plant in the U.K., will surpass expectations in its fiscal first quarter results to be released September 7, citing company comments that conditions in the United States have improved.
The company acknowledges that confidence in the U.S. economic recovery has since slipped, but said it remains skeptical of the possibility of a “double-dip” recession.
“We believe that what we are likely to see is a lower growth, slower paced recovery,” Singer analyst Andy Murphy told sharecast.com. “The AIA’s Architectural Billings Index is still trending higher and its ‘new projects enquiry’ index jumped from 55.5 to 57.7 in June, implying growth further out.”
The broker has a “buy” recommendation on Ashtead’s shares.
Fort Mill, S.C.-based Sunbelt Rentals is No. 3 on the RER 100.
