UPDATE: Deutsche Bank Cuts Target on Navistar International to $50

Deutsche Bank lowers its price target $4 to $50 on Buy-rated Navistar International NAV on disappointing Q1 results. Deutsche Bank notes, "Navistar reported disappointing FQ1 results NAV reported a Q1 EPS loss of $2.08 vs. our ($0.10) est and cons of ($0.27). Manu seg income was a loss of $102M vs. our est of a $136M profit. Of this $247M shortfall, $112M was related a warranty accrual in the company's engine seg. Truck seg income was a $41M loss vs. our est of a $68M profit. Engine seg income was a loss of $120M ($8M loss ex warranty accrual) vs. our est of a $7M profit. Parts seg income was $50M vs. our $61M est. We maintain our Buy rating based on our belief that the risk/reward remains positively skewed." NAV closed at $39.27 a share on Thursday.