Jefferies Has Hold Rating On CNH Global Following Earnings (CNH)

Jefferies & Co. has a Hold rating and a $55 price target on shares of CNH Global

. In a note to clients, Jefferies writes, "CNH reported 1Q EPS of $0.57, excluding a net $0.06 gain, $0.09 ahead of our $0.48 and $0.14 better than consensus of $0.43. We expect the stock to trade up as results, although less solid than we had expected, came in above low expectations. Positive read through to AGCO, DE on Farm Equipment, but commentary on excavator constraints should read through to DE and CAT. Overall: Solid revenue quarter, although most of the upside appears to have come from non-operating items. Lower than expected interest and other expense each added $0.05-0.06, while stronger JV income added $0.08 relative to our estimate, offsetting lower than expected EBIT. A higher than expected tax rate also provided ~$0.07 of headwind." Shares of CNH are up $2.33 to $47.42, a gain of 5.2%.