Global Hunter Securities Downgrades China Advanced Construction Materials Group (CADC) to Neutral
Tweet
Share
E-mailGet Alerts CADC Hot Sheet
Price: $3.51 --0%
Rating Summary:
0 Buy, 1 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 17 | Down: 13 | New: 9
Rating Summary:
0 Buy, 1 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 17 | Down: 13 | New: 9
Join SI Premium – FREE
Global Hunter Securities downgraded China Advanced Construction Materials Group (NASDAQ: CADC) from Buy to Neutral.
Global analyst says, "China Advanced Materials announced that it has received a non-binding go-private offer from the two key management members for $2.65 per share in cash. This preliminary proposal did not provide details on deal financing or expectation of a completion time. We view this proposal as a very initial step of a long process that may be stretched out, given a potentially arguable valuation. In addition, we are increasingly concerned about high speed rail (HSR) project delays caused by a worsening credit crisis at the Ministry of Railway (MOR), which raises the downside risk on our estimates. We believe the proposed offer price of $2.65 will act as a ceiling on the stock price and therefore are downgrading CADC to Neutral and expect shares to trade in the neighborhood of the offer price."
For more ratings news on China Advanced Construction Materials Group click here and for the rating history of China Advanced Construction Materials Group click here.
Shares of China Advanced Construction Materials Group closed at $2.16 yesterday.
Global analyst says, "China Advanced Materials announced that it has received a non-binding go-private offer from the two key management members for $2.65 per share in cash. This preliminary proposal did not provide details on deal financing or expectation of a completion time. We view this proposal as a very initial step of a long process that may be stretched out, given a potentially arguable valuation. In addition, we are increasingly concerned about high speed rail (HSR) project delays caused by a worsening credit crisis at the Ministry of Railway (MOR), which raises the downside risk on our estimates. We believe the proposed offer price of $2.65 will act as a ceiling on the stock price and therefore are downgrading CADC to Neutral and expect shares to trade in the neighborhood of the offer price."
For more ratings news on China Advanced Construction Materials Group click here and for the rating history of China Advanced Construction Materials Group click here.
Shares of China Advanced Construction Materials Group closed at $2.16 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Freedom Broker Double Downgrades Mosaic (MOS) to Sell
- BofA Securities Downgrades StubHub Holdings (STUB) to Underperform
- Kepler Cheuvreux Downgrades Carl Zeiss Meditec AG (AFXG:GR) (CZMWY) to Reduce
Create E-mail Alert Related Categories
DowngradesSign 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!
