UPDATE: Bank of America Downgrades Noranda Aluminum Holding Corporation to Neutral, Lowers PT on Lack of Catalysts, Limited Cash Flow

In a report published Thursday, Bank of America analyst Timna Tanners downgraded the rating on Noranda Aluminum Holding Corporation

from Buy to Neutral, and lowered the price target from $8.00 to $5.00. In the report, Tanners noted, “We cut NOR to Neutral from Buy and our PO to $5 after evidence of a stretched balance sheet and still tough mkt conditions. NOR posted adj Q113 EPS of a $0.02 loss, topping consensus at a $0.06 loss but shy of our $0.01 loss. EPS excluded a $5M hedging gain and debt repayment charge. We cut Q213E EPS to a $0.05 loss vs a $0.03 profit and 2013E EPS to a $0.15 loss from $0.07 profit to reflect new interest costs. NOR may need to take greater steps to preserve cash.” Noranda Aluminum Holding Corporation closed on Wednesday at $4.46.