Dahlman Rose Initates Dow Chemical with Hold (DOW)

Dahlman Rose analysts Charles Neivert and Ahmed Alamin initiated coverage of the Dow Chemical Company (NYSE: DOW) with a Hold rating.

The analysts said, "We see a highly challenging environment in the 2010/11 time period for the Basics segment which should create headwinds for earnings growth."

Regarding earnings estimates, Dahlman Rose said, "We look for 2010 | 2011 EPS and EBITDA of $1.63 | $2.06 and $6.8 Bn | $7.3 Bn, representing 2010 | 2011 P/E multiples of 16.5x | 13.1x and 2010 | 2011 EV/EBITDA multiples of 8.3x | 7.7x, respectively."