Markets & Finance

Bear Stears Raises US Xpress to Buy


Bear Stearns upgrades US Xpress (XPRSA) to buy from attractive after the company raises about $107 million in equipment financing and amends its revolving credit facility.

Analyst Edward Wolfe says US Xpress has the most operating leverage in an economic turnaround, lower fuel and driver costs in the truckload sector, which he remains very bullish on. Wolfe thinks management has greatly improved the balance sheet liquidity and with the improved risk/reward in the stock, investors should react.

He expects the company to make or beat his fourth quarter estimates, mostly on lower fuel costs. He has increased confidence in his $0.38 high end of 2002 EPS estimates and raised his $0.54 2003 estimate to $0.75. He raises his $9 12-month price target to $12.


The Good Business Issue
LIMITED-TIME OFFER SUBSCRIBE NOW

Sponsored Financial Commentaries

Sponsored Links

Buy a link now!

 
blog comments powered by Disqus