UPDATE: Credit Suisse Upgrades Owens Illinois (OI) to Outperform on Weak Dollar
Tweet
Share
E-mailGet Alerts OI Hot Sheet
Price: $7.27 -1.62%
Rating Summary:
10 Buy, 11 Hold, 2 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 14 | Down: 11 | New: 36
Rating Summary:
10 Buy, 11 Hold, 2 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 14 | Down: 11 | New: 36
Join SI Premium – FREE
Credit Suisse upgraded shares of Owens Illinois (NYSE: OI) Tuesday from Neutral to Outperform, while raising its price target from $32 to $36.
The firm reports the stock i up 8.7% since mid October 2010, but its still under-performing the S&P 500 by 4.8%. Credit Suisse said its upgrade reflects both the stock's increasingly attractive valuation and company's continued positive momentum, particularly in volume growth and favorable currency trends.
Credit Suisse mentions its checks indicate there has been a positive relationship with the amount of beer sold in the bottle over cans during the economic recovery. It reports as people feel more secure about their job, they will go out to the bar and buy the better tasting and more expensive beer.
The U.S. experienced a 4.5% increase in volume sales in January. The firm also believes that OI will continue to grow through acquisitions.
Credit Suisse is raising its 2011 and 2012 EPS estimates by $0.10 and $0.15 to $2.95 and $3.55, while its 2013 estimate moves higher by $0.15 to $3.95. The firm added that these increases are due to the rising volume trends and the weakness of the dollar when compared to the euro, as Europe makes up 40% of the company's sales.
The firm reports the stock i up 8.7% since mid October 2010, but its still under-performing the S&P 500 by 4.8%. Credit Suisse said its upgrade reflects both the stock's increasingly attractive valuation and company's continued positive momentum, particularly in volume growth and favorable currency trends.
Credit Suisse mentions its checks indicate there has been a positive relationship with the amount of beer sold in the bottle over cans during the economic recovery. It reports as people feel more secure about their job, they will go out to the bar and buy the better tasting and more expensive beer.
The U.S. experienced a 4.5% increase in volume sales in January. The firm also believes that OI will continue to grow through acquisitions.
Credit Suisse is raising its 2011 and 2012 EPS estimates by $0.10 and $0.15 to $2.95 and $3.55, while its 2013 estimate moves higher by $0.15 to $3.95. The firm added that these increases are due to the rising volume trends and the weakness of the dollar when compared to the euro, as Europe makes up 40% of the company's sales.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- RBC Capital Upgrades Orsted A/S (ORSTED:DC) (DNNGY) to Outperform
- Airbnb Inc. (ABNB) PT Raised to $220 at DA Davidson on 'Experiences' Momentum
- Assembly Biosciences (ASMB) PT Lowered to $45 at Mizuho
Create E-mail Alert Related Categories
Analyst Comments, UpgradesRelated Entities
Credit Suisse, Standard & Poor'sSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
