UPDATE: Citi Raises SeaCube Container's PT
According to a research report published earlier today, Citi has increased SeaCube Container Leasing's (NYSE: BOX) PT from $18 to $20.
In the report, Citi said, “We are encouraged by SeaCube's continued investment in container fleet growth, as it has spent $80 million on new equipment through February, putting it on pace to spend over $475 million this year, down 17% YoY, but still well ahead of our previous $324 million target. As such, we are raising our EPS estimates for 2012 and 2013 by 29% and 20%, to $2.50 and $2.75, from $1.93 and $2.30, respectively, as we believe increased capex can be immediately put to work in accretive lease transactions. Demand for leased container assets continues to benefit from increased global trade, secular growth in containerization and a shift towards leasing over owning assets by container liner companies as they become more focused on reducing capital intensity, particularly in a tight financing market.”
Citi maintains its Buy rating on SeaCube, which closed Friday at $17.10.
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