KeyBanc rolls out coverage of Industrial Automation with two Overweights

KeyBanc analyst Ken Newman initiated coverage of the Industrial Technology sector with a long-term positive bias but short-term selective bias, on Industrial Automation. The firm, which started five stocks in the sector, thinks the Industrial Automation industry “remains ripe for increased investment and adoption,” the analyst tells investors. While acknowledging concerns around near-term macro dynamics, the firm thinks secular trends across semiconductor manufacturing, renewable power, petrochemical, EVs and battery manufacturing, and utility infrastructure end markets provide significant long-term demand visibility, the analyst added. In that context, the firm started Symbotic (SYM) with an Overweight rating and $50 price target, Emerson Electric (EMR) with an Overweight rating and $120 price target and began coverage of Zebra Technologies (ZBRA), Rockwell Automation (ROK) and Cognex (CGNX) with Sector Weight ratings.