With gross margins improving and earnings growth inflecting next year, we're sticking with the stock and looking to add to our position on potential pullbacks.
As a result, we're raising our price target to $110 a share, up from $100.
Taken together, the company's adjusted gross margins were 23.6%, down from last year's 27.9% rate.
That's why we were pleased to see adjusted gross margins expand 50 basis points from the first quarter.
This midpoint now factors in a "modestly lower" organic-growth rate, offset by stronger gross margins.
Persons:
Stanley Black, Decker, it's, Stanley, Stanley isn't, Jim Cramer's, Jim Cramer, Jim, David Paul Morris
Organizations:
Revenue, Refinitiv, Stanley, Management, CNBC, Bloomberg, Getty
Locations:
Emeryville , California