Tuesday, February 5, 2008

Morgan Keegan, Bear Stearns upgrade Greenbrier (ARII; GBX)

From Forbes:

Morgan Keegan and Bear Stearns upgraded Greenbrier Cos Inc (GBX) to "outperform," after a filing on Monday revealed billionaire investor Carl Icahn's interest in the possible merger of the company with American Railcar Industries (ARII).

Icahn currently holds a 9.5 percent stake in railroad equipment supplier Greenbrier and owns about 53.7 percent of American Railcar's shares.

Bear Stearns analyst Peter Nesvold said American Railcar could pay $35 for Greenbrier, assuming an estimated $425 million lease fleet divestiture and $37 million of cost savings, and still see the deal adding 12 percent to its 2009 earnings per share....MORE