BancBoston Robertson Stephens Raises Estimates, Reiterates Buy Rating on TWR
19 July 1999
BancBoston Robertson Stephens Raises Estimates, Reiterates Buy Rating on TWR
SAN FRANCISCO, July 16 -- The following is being issued by
BancBoston Robertson Stephens, a member of the National Association of
Securities Dealers, CRD number 41271:
BancBoston Robertson Stephens managing director and senior industrial
growth analyst Michael R. Mach today raised estimates and reiterated his Buy
rating on Tower Automotive, Inc. . Tower is a leader in supplying
car and light truck manufacturers with components that provide vehicles with
structural integrity. The company is the world's largest supplier of chassis
structures and a leading global designer and manufacturer of high quality
engineered metal stampings, assemblies and modules, including suspension and
Class A external-metallic components.
"We are raising estimates and reiterating our Buy rating on Tower
Automotive, following the company's very strong-second-quarter 1999 results"
said Mach. "We are taking our 1999 and 2000 earnings-per-share estimates from
$2.03 to $2.10 and from 2.25 to 2.55, respectively. Our earnings-per-share
changes also reflect the inclusion of accretion expected to result from
acquisitions announced in June.
"The company reported second-quarter 1999 earnings-per-share of
$0.58, which was 26.1 percent above the prior-year results and $0.04 above our
forecast and consensus expectation," said Mach.
"We think Tower share offer investors the opportunity to own a proven
industrial-growth company, now selling at less than 11 times
2000 earnings-per-share estimates," said Mach. "We expect Tower's long-term
earnings-per-share to grow 25 percent or better. We have raised our price
target from $34 to $36, implying 12-month upside potential of over
30 percent."
Clients interested in receiving more information should contact their
salesperson at 415-781-9700.
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information contained in the full research report, including the discussion of
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