Furniture Brands International Inc. saw its shares jump in trading Thursday afternoon after Credit Suisse analyst upgraded the stock valuation.
Furniture maker shares advanced $ 1.22, or 5.7 percent, to $ 22.57 on the New York Stock Exchange, as trading volume more than double the daily average shares. Shares have traded in a 52-week range of $ 16.07 to $ 25.34.
In a note to investors, Credit Suisse analyst Ivy L. Zelman noted the stock has fallen 9 percent since January, dipping below the fair value of $ 22 per share. Zelman upgraded the stock from "underperform" to "neutral," even if the stock underperformance compared with 8 percent of the industrial sector and sluggish trends.
"While we still expect the retail environment to remain challenging given rising interest rates and a slowing housing market, we believe that Furniture Brands' current assessment is more reflective headwinds after the recent slide of this."
Zelman expects the stock to reach $ 24 within a year. He asserted himself per share estimate of $ 1.61 for the year 2006 and $ 1.90 for the year 2007.
Furniture maker shares advanced $ 1.22, or 5.7 percent, to $ 22.57 on the New York Stock Exchange, as trading volume more than double the daily average shares. Shares have traded in a 52-week range of $ 16.07 to $ 25.34.
In a note to investors, Credit Suisse analyst Ivy L. Zelman noted the stock has fallen 9 percent since January, dipping below the fair value of $ 22 per share. Zelman upgraded the stock from "underperform" to "neutral," even if the stock underperformance compared with 8 percent of the industrial sector and sluggish trends.
"While we still expect the retail environment to remain challenging given rising interest rates and a slowing housing market, we believe that Furniture Brands' current assessment is more reflective headwinds after the recent slide of this."
Zelman expects the stock to reach $ 24 within a year. He asserted himself per share estimate of $ 1.61 for the year 2006 and $ 1.90 for the year 2007.
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