UPDATE: Barrington Research Downgrades Navistar International to Market Perform
In a report published Friday, Barrington Research downgraded its rating on Navistar International Corporation (NYSE: NAV) from Outperform to Market Perform.
Barrington noted, “Our investment thesis is changed following NAV's August 2, 2012 announcement of ‘Actions to Increase Shareholder Value.' We have been positive on NAV's shares for the last three to four years (initiated our opinion at $32 per share) due to the low valuation and management's bold strategy to produce an innovative product. As a local Chicago-based company, we would have liked to see NAV successful with their strategy. In 2012, it became apparent that EGR was not going to meet the EPA 2010 standard. As the NAV engine strategy has changed to SCR, we are hopeful that the company is now on the right engine technology path. However, with near-term earnings visibility impaired, we cannot afford NAV our firm's highest rating. While we view the valuation at or near the bottom, given the obvious lack of visibility, we cannot recommend purchase of the shares and, as such, we are lowering our rating to MARKET PERFORM from OUTPERFORM.”
Navistar International Corporation closed on Thursday at $21.55.
Latest Ratings for NAV
|Aug 2014||Vertical Research||Downgrades||Sell|
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.