OSI Systems price target raised to $169 from $165 at Roth MKM

Roth MKM analyst Jeff Martin raised the firm’s price target on OSI Systems to $169 from $165 and keeps a Buy rating on the shares after its Q2 earnings beat and guidance raise. The analyst states that the firm’s prior thesis that significant orders in FY23 are setting the stage for an inflection in the growth profile in FY24 is playing out. The firm sees sustained strong demand for cargo and vehicle inspection systems and also cites an improvement in aviation providing a healthy demand environment for Security for years to come. The execution by OSI Systems on large orders validates the company’s Security product portfolio as “one of the most robust in the industry”, Roth MKM tells investors in a research note.