JP Morgan analyst Seth Seifman thinks Bombardier Inc. (BBD.B-T) has made considerable progress in improving its balance sheet over the last two years, leaving it less vulnerable to the turbulent macro economic conditions.
“Bombardier balance sheet is in the healthiest state in recent memory and with management on track or ahead of its longer-term financial targets,” he added.
Mr. Seifman also sees the Montreal-based luxury jet manufacturer executing well on its recovery in a solid demand environment and believes its current backlog is adequate to weather a moderate recession.
That led him to raise his target for Bombardier shares to $75 from $70, keeping a “neutral” rating. The average target on the Street is $76.63.