UPDATE: Goldman Sachs Maintains Buy on Tenneco on SCR Opportunity
Goldman Sachs reiterated on Friday its CL-Buy rating on Tenneco (NYSE: TEN) as the company remains a candidate to assist Navistar International (NYSE: NAV) with the adoption of Selective Catalytic Reduction ('SCR') to its engines.
Goldman Sachs noted, "Navistar hosted its technology update this morning where it confirmed a widely expected plan to add Selective Catalytic Reduction (SCR) to its Class-8 truck engines in the US and Canada. The company expects to launch an upgraded 13L engine in early 2013 with a 15L to come later. Contrary to some headlines earlier today, our conversations with both NAV and TEN have led us to conclude that the sourcing decision on the incremental SCR units has not been made and remains open."
Shares of Tenneco were trading at $26.76 at the time of posting, down 5.11 percent from Thursday's market close.
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