Jefferies analyst boosts rating for American Axle
NEW YORK (AP) — A Jefferies analyst on Tuesday raised his rating for American Axle & Manufacturing Holdings Inc. to "Hold" from "Underperform," saying that its shares have fallen to a reasonable value.
THE OPINION: Peter Nesvold noted that the Detroit-based company's shares have lagged the overall market by about 21 percent since he cut his rating for the company's stock to "Underperform" in January.
Nesvold said that the company has performed largely as he expected it would in recent months and its shares no longer trade at hefty premiums over those of other auto suppliers.
The company's stock is down about 23 percent from its September high and now lags auto suppliers as a whole by about 16 percent. Nesvold added that the drop puts the shares within 10 percent of his fair value target of $9.
THE SHARES: Up 6 cents to $9.88 in afternoon trading, after jumping to $10.26 earlier in the session. Its shares have traded in a 52-week range of $7.50 to $13.08.