Markets & Finance

CSFB Cuts Estimates for Yellow Roadway

CSFB cut its estimates and price target on Yellow Roadway (YELL) Friday, citing the transportation service company's earnings guidance reduction.

Yellow Roadway recently said it expects third-quarter adjusted earnings per share of between $1.40 and $1.45 compared with previous guidance of $1.60 to $1.65.

Analyst Jason Seidl thinks that while roughly 5 cents of earnings per share reduction is attributable to Hurricane Katrina, the bulk of the company's downward guidance revision stems from weakness at its Roadway unit.

Seidl cut his third-quarter earnings per share estimate to $1.45 from $1.60, his fourth quarter estimate to $1.34 from $1.46, his 2005 estimate to $5.10 from $5.40, and his 2006 estimate to $5.95 from $6.40.

Although he kept his neutral investment rating on the stock, his price target was reduced to $53.50 from $58.

The Aging of Abercrombie & Fitch
blog comments powered by Disqus