UPDATE: KeyBanc Upgrades Ryder System to Buy
KeyBanc is out with its report today on Ryder Systems (NYSE: R), upgrading R from Hold to Buy.
In a note to clients, KeyBanc writes, "We are upgrading shares of Ryder System, Inc. (R-NYSE) to BUY from HOLD and establishing a $63 price target based on our view that: 1) current fleet dynamics and freight trends support a multi-year recovery in commercial vehicle leasing; 2) internal initiatives, acquisitions and share buybacks should result in margins and earnings above prior peak; and 3) favorable risk/reward at current valuation. We are increasing our 2011E to $3.05 (from $2.97, consensus $3.05, guidance $2.90-$3.00) and our 2012E to $3.85 (from $3.60, consensus $3.81) to reflect increased confidence in the current leasing cycle, recent acquisitions and internal initiatives."
KeyBanc has a $63 PT on R.
Shares of R closed Friday at $50.45.
