Markets & Finance

Bear Stearns Ups Three Trucking Stocks


Bear Stearns upgraded its investment recommendation on shares of Yellow (YELL), Arkansas Best (ABFS), and Roadway (ROAD) to peer perform from underperform. On Jan. 24, Yellow posted fourth-quarter EPS from continuing operations of 50 cents.

Analyst Ed Wolfe tells S&P MarketScope that Yellow, Arkansas Best and Roadway have reached his downside price targets. He thinks the $2.57 2003 EPS consensus estimate for Yellow probably remains too high, but suspects further modest downward EPS adjustments in the near-term are already priced into the stock. Wolfe thinks the risk from freight diversion is offset by valuation. He cut his $2.25 2003 EPS estimate on Yellow to $2.10 and his $2.43 forecast for 2004 to $2.40. The analyst also lowered his $24 12-month price target to $21-$22. He maintains his targets of $33 on Roadway and $23 on Arkansas Best.


The Good Business Issue
LIMITED-TIME OFFER SUBSCRIBE NOW

Sponsored Financial Commentaries

Sponsored Links

Buy a link now!

 
blog comments powered by Disqus