Tenneco Still Under Big 3 Shadow

Tags: ten, gm, f
4 Dec 3:10am
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Tenneco, Inc. (TEN) headquartered in Lake Forest, Illinois, sells its products under brands including Monroe, Rancho, Clevite Elastomers, and Fric Rot ride control products and Walker, Fonos and Gillet emission control products. The company operates 80 manufacturing plants and 15 engineering facilities worldwide.

Tenneco is witnessing revenue improvements and has been successful in its 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. The company projects that it will achieve an average compounded annual original equipment (OE) revenue growth rate of 11%-13% between 2008 and 2012.

However, elevated commodity costs, oil prices, and sizable production cuts at General Motors Corporation (GM) and Ford Motor Company (F) lead us to rate the stock a Hold. We set a six-month target price of $2.50.

Read the full analyst report on TEN

Read the full analyst report on GM

Read the full analyst report on F




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