UPDATE: Wells Fargo Upgrades Crown Holdings from Market Perform to Outperform - Crown Holdings (NYSE:CCK)

Wells Fargo upgraded Crown Cork & Seal Company, Inc.

CCK

from Market Perform to Outperform. In a research not posted Thursday, analyst Christopher Manuel said several of the challenges that have plagued CCK's operational performance have either been reconciled or bottomed, translating into profit growth. Manuel sees improved European operations in 2014 generating free cash flows of $600 million. The analyst noted catalysts such as:

European Beverage demand improving modestly;
Pricing and mix within European Food stabilization;
No repeat of customer bankruptcies that impacted NA Food and European Food;
Normalized weather/production in NA Food that could boost EBIT;
Lower full-year Aluminum Premium levels;
Incremental Capacity in Brazil; and,
Lower pension expense of $63 million compared to $75 million previously.

Shares of CCK closed Wednesday at $40.45.

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