UPDATE: Deutsche Bank Reiterates Buy Rating, Lowers PT on Tenneco

In a report published Friday, Deutsche Bank reiterated its Buy rating on Tenneco TEN, but slightly lowered its price target from $46.00 to $45.00. Deutsche Bank noted, “Tenneco slowed continued margin improvement in Q4 - TEN reported Q4 EPS of $0.66; ahead of our $0.61 est. and in-line with cons. of $0.67. Revenue of $1.75bn was below our $1.8bn est. But margins were better, with a consolidated operating margin of 5.4% vs. our 5.1% est. It is worth noting that the 40bps yoy improvement was despite flat yoy value added revenue. We believe that this provides evidence of the TEN's operational improvement. We maintain our Buy recommendation based on valuation.” Tenneco closed on Thursday at $34.96.