EnerNOC (ENOC) Gets Valuation Downgrade From Janney Montgomery

EnerNOC has had quite a run this year, up nearly 5 fold.  With runs like that often come valuation downgrades and Janney Montgomery Scott is out with one this morning, cutting the stock to Neutral.  

Hat tip to StreetInsider.com for the following analyst comment:

“We are downgrading EnerNOC to NEUTRAL based on valuation. We are still strong believers in the EnerNOC story and believe that the Company maintains a very strong position in the rapidly growing smart grid market. In fact, we are raising our fair value to $35 (from $30) on better gross margin estimates for 2011. However, with the stock at $33.16, we would advise investors to step aside at this point, as the stock has had a good run and we do not see sufficient upside to justify a continued Buy rating. Our new fair value of $35 represents 25x our CY2011 EPS estimate of $1.33 (previously $1.19).”

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