KeyBanc Upgrades Cooper Tire (CTB) to Hold

November 13, 2008 7:47 AM EST

KeyBanc upgrades Cooper Tire (NYSE: CTB) from Underweight to Hold.

KeyBanc analyst says, "On Monday, November 10, 2008 we downgraded our rating on CTB shares to UNDERWEIGHT with a downside price target of $5 as we felt the downside risk was greater than any upside potential; at that time CTB shares were priced at $7.79...CTB has several challenges in the near term that would likely prevent the Company's shares from moving significantly higher than the November 10 price. However, we now believe that there are two reasons that limit downside from its current level: 1) the current valuation is historically low; and 2) the balance sheet remains strong. We do not believe that the Company will be cutting the dividend and at the current price of $4.96, CTB shares yield 8.5%."

Cooper Tire & Rubber Company is a manufacturer of replacement tires. Cooper focuses on the manufacture and sale of passenger and light truck replacement tires.

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