UPDATE: Deutsche Bank Upgrades Graphic Packaging to Buy on Solid Cashflows, Growth

Deutsche Bank upgraded Graphic Packaging GPK from Hold to Buy and raised the price target from $7.00 to $8.50. Deutsche Bank said, "GPK has done a good job of growing volumes thru new product wins. Meanwhile, synergies from recent acqn's & cost benefits from Macon boiler project provide solid EBITDA runway over the next 12-24 months. Relatively stable end-mkts & cost pass-thru mechanisms provide steady performance. Cashflows appear robust and should drive deleveraging (DB expects ~2.5x by yr-end 2014 from the current 3.5x). Finally, reduction in ownership by top 4 shareholders to 53% improves liquidity." Graphic Packaging closed at $7.24 on Friday.