UPDATE: Credit Suisse Reiterates Underperform Rating, Lowers PT on Lexmark International on Currency and Growth Challenges

In a report published Wednesday, Credit Suisse analyst Kulbinder Garcha reiterated an Underperform rating on

, but lowered the price target from $41.00 to $38.00. In the report, Credit Suisse noted, “Lexmark reported Q4 results that were mixed. Operationally, execution was decent on revenues of $1.03bn, ahead of expectations, whereas EPS was weaker at $1.11 (versus CS of $1.17). Currency headwinds are projected to be severe in Q1 and FY15, upwards of ~$11mn in Q1 2015 (~23% of operating profits). We lower our EPS estimates by -14% for 2015 to $3.55 and introduce our 2016 estimates of $3.78, and note that this could be optimistic even with our EPS markdown. We reiterate our Underperform and lower our PT to $38.” Lexmark International closed on Tuesday at $40.85.