Oppenheimer Says DuPont Undervalued

A recent report from Oppenheimer says Dupont

has a solid cyclical portfolio, partly offset by a large pension/OPEB deficit and potential M&A risk. It appears relatively undervalued. Recovery is aided by strong earnings, but DD also strengthened its hand with $1.1B in '09 fixed cost reductions (another $400M in '10E, target '12E 39% fixed cost/revenue) and clear market share gains in Ag. Long term, we believe DD needs to develop a "killer app." DuPont closed Wednesday at $44.62