Credit Suisse Sees Pros and Cons to Manitowoc (MTW) Breakup

Credit Suisse analyst Jamie Cook weighed in on Manitowoc (NYSE: MTW) following this morning's 13D disclosure from Carl Icahn that he is seeking a separation of the company's Crane and Foodservice segments into two separate companies. Cook notes that this is the second request for a breakup - in June Relational Investors sought a breakup but has since decided to wind down the fund due to personal health reasons.

On the breakup, Cook said the Foodservice business does appear undervalued. He notes MTW is one of the larger players in the market and has significant exposure to the "growthier" restaurant market. He also sees opportunities to improve Foodservice margins which trail competitors.

Cook said that Cranes remain a challenge and the business may be too cyclical to stand alone. That said, Cranes may make sense as part of a larger industrial player, although the don't believe Caterpillar (NYSE: CAT) or Komatsu would be interested as 75% of cranes are sold through rental and aftermarket is low. Asian peers like Sany, Zoomlion and XCMG could make sense long term, he also said.

The firm maintained an Outperform rating and price target of $27 on MTW.

For an analyst ratings summary and ratings history on Manitowoc click here. For more ratings news on Manitowoc click here.

Shares of Manitowoc closed at $20.92 yesterday.

You May Also Be Interested In

• Mavis acquires Pep Boys from Icahn Enterprises for $700M
• Walmart (WMT) PT Lowered to $120 at Baird
• The Manitowoc Company to Present and Host 1x1 Meetings at the Midwest IDEAS Investor Conference on Wednesday, August 26, 2026