NEW YORK (AP) -- A Citi analyst on Monday upgraded United Technologies Corp., saying that the company is poised to get a boost from its acquisition of airline parts maker Goodrich Corp.
THE BACKGROUND: Hartford, Conn.-based United Technologies makes aerospace systems including Pratt & Whitney jet engines and Sikorsky helicopters, along with building systems such as Otis elevators and climate control and security systems.
The company completed its $18.4 billion acquisition of aerospace parts maker Goodrich Corp. late last year.
THE OPINION: Analyst Deane Dray raised his rating for United Technologies to "Buy" from "Neutral," saying that the transition period related to Goodrich that has hung over the stock for much of the past year is basically over.
Dray, who also increased his price target for the stock by $22 to $110, pointed to the company's industry position, the stock's attractive price and the potential for a Goodrich-related boost.
He also noted that in the company's recent analyst presentation it highlighted the recovery of Otis in China, the first signs of cost savings related to Goodrich and significant Embraer jet contract wins.
THE SHARES: Down 13 cents to $93.15 in afternoon trading after rising as high as $93.58 earlier in the session. FactSet data indicated that was an all-time high for United Technologies.