Tenneco Downgraded to Hold

Tags: ten, gm, f
8 Dec 4:33am
Read original blog entry

 Zacks senior auto industry analyst Paul Raman, CFA has downgraded the shares of auto parts supplier Tenneco, Inc. (TEN) to Hold from Buy. Here's what he said in his latest update:

'Tenneco is witnessing revenue improvements and has been successful in cost reduction efforts and restructuring activities. The company holds a leading position in nearly every product category it offers.

'Moreover, diversification has proved to be a major positive for the company. However, elevated commodity costs, oil prices and sizable production cuts at GM (GM) and Ford (F) lead us to rate the stock a Hold. We set a six-month target price of $28.00.

'Currently, shares of Tenneco Inc. are trading at 15.0x our 2007 EPS estimate of $1.75. The company holds a leading position in nearly every product category it offers. Moreover, diversification has proved to be a major positive for the company. We set a six-month target price of $28.00 and rate the shares a Hold. This is 16.0x our 2007 estimate.'

Read the full analyst report on TEN.

Read the full analyst report on GM.

Read the full analyst report on F.





Get real-time market insights and profitable stock recommendations from the team of analysts at Zacks Equity Research. See all today’s Analyst Blog entries on Zacks.com.

Comments

Back to top

Post comment

Back to top

Post a comment

Please login to post a comment

About

ZacksResearch

Zacks Investment Research is one of the most highly regarded firms in the investment industry. Our firm has long believed that that quantitative models (like the Zacks Rank) can predict stock prices more accurately than individual analysts. However we also recognize that models are most effective when they are employed by analysts who have deep fundamental knowledge of the company and its industry. Consequently Zacks Equity Research combines Zacks quantitative models with the insight provided by an experienced team of 50 analysts to create superior long term stock recommendations. Discover all their timely insight and recommendations daily on Zacks.com.