Bank of Americas Securities analyst Heather Balsky analyst upgraded Dun & Bradstreet (NYSE:DNB) on Wednesday to Neutral from Underperform as the analyst sees the finance analytics and risk solutions company's 2022 plan as achievable and, when accomplished, should rebuild investor support.
Dun & Bradstreet (DNB) shares are gaining 1.5% in Wednesday premarket trading.
"DNB has now posted two quarters of solid sales beats and we model sequential improvement (excluding its GSA contract exit) through 20223E benefitting from higher prides (~2% in 2022E) and 20%+ growth at its Supply Chain Risk Management solution (~5% of sales)," Balsky wrote in a note to clients.
Relatively higher leverage and below-peer 2022E free cash flow conversion keeps her from rating the stock any higher.
Overall, the company's "turnaround story and relatively recession-resistant mode is attractive as economic risks tick higher," the analyst said.