DaimlerChrysler "neutral," target price raised

16.02.07 - Banc of America

NEW YORK, February 16 (newratings.com) - Analysts at Banc of America Securities maintain their "neutral" rating on DaimlerChrysler (DCX), while raising their estimates for the company. The target price has been raised from $58 to $76.

In a research note published yesterday, the analysts mention that if the monetization of Chrysler takes place or if the Mercedes results are sustained going forward, there might be further upside to the 12-month target price. Chrysler division is expected to reach its operating margin target of 2.5% by 2009, the analysts say. The EPS estimates for 2007, 2008 and 2009 have been raised from $3.45 to $4.45, from $4.50 to $5.75 and from $5.50 to $7.15, respectively.