LATEST NEWS

OM Group shares rise after upgrade

OM Group shares rise after analyst lifts rating to 'Buy'

RELATED QUOTES

SymbolPriceChange

NEW YORK (AP) — Shares of OM Group Inc. rose Wednesday after an analyst upgraded the chemical company to "Buy" from "Hold," saying that the stock's sharp decline combined with a positive business outlook should attract investors.

THE SPARK: KeyBanc Capital Markets analyst Ivan M. Marcuse said the stock is now a good value for several reasons, including a positive reception of its incoming chief financial officer by Wall Street and stabilizing cobalt prices.

The company said two weeks ago that it hired Christopher M. Hix as its new CFO to start Jan. 3. Hix most recently was senior vice president and CFO of Robbins & Myers Inc., which makes and services equipment for companies in industries such as energy, chemicals and pharmaceuticals.

THE ANALYSIS: Marcuse predicts that following the completion of a recent acquisition, the company will start to be more open about its earnings and growth potential. He put a $30 price target on the stock.

"Over the last several years, OM Group has worked to transform itself from being primarily a metal conversion company into more of an engineered materials company. In addition to periods of volatile market conditions, the combination of a multitude of factors including controversial acquisitions, fluctuating cobalt prices and difficulty in communicating its plan for growth has equated into a poor shareholder return for a long-term investor," the analyst wrote in a note to clients. "However, now ... we see limited downside and view (the stock) as a compelling opportunity."

SHARE ACTION: Shares rose $1.37, or 6.6 percent, to $22.12 amid a broader market rally following the news that central banks around the world are working together to ease financial pressure. The stock is still near its year low of $20.13.

--

Get stories like this on the Yahoo app and discover more every day.
Download it now.

DON'T MISS

  • The Rs 80,000 crore milk business is on a tear

    If you thought that all the action in business was concentrated around the e-commerce sector, you could not be more wrong. The unlikely category of milk and dairy products has been seeing some of the most ... …

  • Charged up

    Reliance Jio's battle with other cellular operators over spectrum usage charges is set to escalate. …

  • Cracking the Code

    HackerRank is helping companies recruit coding champions through online tests. …

  • Poor Prediction

    A Niti Aayog presentation says poverty in India could be wiped out by 2032. Is it possible? …

  • Missing in Action

    Villages adopted by Gandhis make little progress. …

  • The VillageEconomy

    Inside: Model villages 68 / How India failed its poor 76 …

  • Hardly Adarsh

    Saansad Adarsh Gram Yojana, PM's pet project, has the potential to kick-start the rural economy, but is going nowhere if we go by the results so far. …

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    195.55+11.80+6.42%
    SBIN.BO
    16.20+0.85+5.54%
    SUZLON.BO
    66.50-1.45-2.13%
    SPICEJET.BO
    103.35+4.55+4.61%
    IBREALEST.BO
    49.00+1.35+2.83%
    RCOM.BO
  • Price % Gainers
    Price % Gainers
    NamePriceChange% Chg
    100.90+16.75+19.90%
    CHEMFALKAL.BO
    72.90+12.10+19.90%
    SAMPRE.BO
    99.50+16.50+19.88%
    ICNX100.BO
    36.85+5.60+17.92%
    BRAHMINFRA.BO
    129.15+19.15+17.41%
    TEJNAKSH.BO
  • Price % Losers
    Price % Losers
    NamePriceChange% Chg
    8.38-1.86-18.16%
    LAHOTIOV.BO
    629.15-124.65-16.54%
    LOYALTEX.BO
    78.95-13.20-14.32%
    AMARJOTHI.BO
    13.90-2.10-13.13%
    SRSFIN.BO
    724.80-103.05-12.45%
    NOVARTIND.BO
  •  
    Recent Quotes
    Symbol Price Change % ChgChart 
    Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
    You need to enable your browser cookies to view your most recent quotes.
  • Recent Quotes News

    •  
      Sign-in to view quotes in your portfolios.

    Yahoo Cricket