UPDATE: Deutsche Bank Maintains Nortek at Hold After 0.7% Decline in Revenue from 1Q12 to 1Q13

In its Tuesday report, Deutsche Bank Associate Sean Wondrack reiterated a Hold rating for Nortek

following lower than expected earnings reports. In the report, Wondrack stated, "We maintain HOLD ratings on NTK's 8.5% and 10% senior notes owing to the high dollar prices and heightened risk of an earnings miss during NTK's significant and complex restructuring activities. Additionally, we note the heightened risk of another acquisition given the additional secured debt capacity provided by the $235 million add-on to the 8.5% notes in 4Q12. That said we believe the 8.5% notes offer attractive value relative to the single B index at 5.0% and we continue to believe the 10% senior notes may be called in December 2014 at 105% to remove their more onerous covenants." while acknowledging the risks of their hold ratings "Our HOLD ratings could be affected by a greater than anticipated downturn or upturn in residential and/or nonresidential construction spending. Raw material price changes and an inability to pass those along could also affect earnings." Nortek closed at $70.56 on Monday and is down .01 percent since market open.