UPDATE: Bank of America Initiates Dorman Products on Strong Aftermarket Activity

In a report published on Tuesday, Bank of America analyst John Lovallo II initiated coverage on

with a Buy rating and a $60 price target. In the report, Bank of America stated, "We initiate coverage of Dorman Products (DORM) at Buy, $60 PO, based on a 2014e P/E multiple of about 22X, P/E/G of 1X, and implied EV/EBITDA of roughly 12X. DORM designs, engineers, and supplies replacement components to the US auto aftermarket, with some exposure to medium/heavy trucks & home hardware." Dorman Products closed on Monday at $49.18.