• Most Popular
  • Most Shared

UPDATE 1-RESEARCH ALERT-JP Morgan raises Cabot to overweight

Fri Aug 29, 2008 8:07am EDT

Stocks

   

(Recasts; adds details)

Stocks  |  Global Markets

Aug 29 (Reuters) - J.P. Morgan Securities upgraded Cabot Corp (CBT.N), a maker of specialty chemicals, to "overweight" from "neutral," saying the company is now poised to grow earnings per share strongly over a multi-year period from a cyclical bottom.

Analyst Jeffrey Zekauskas said 2009 should prove to be a materially better year for the company with reductions in cost of carbon black raw materials and rise in carbon black contractual prices.

Cabot's major products are carbon black, fumed silica, inkjet colorants, capacitor materials and cesium formate drilling fluids.

Zekauskas said free cash flow for Cabot seemed "healthy" at 4.9 percent for 2009, but warned it was likely to be constrained due to a large capital program.

Shares of the Boston, Massachusetts-based company closed at $27.54 Thursday on the New York Stock Exchange. (Reporting by Antonita Madonna Devotta in Bangalore; Editing by Himani Sarkar)

Stocks
Global Markets


More from Reuters

Joint Terminal Attack Controller SSgt Clinton J. Herbison, a U.S. Airman from the 817 Expeditionary Air Support Operations Squadron (EASOS) takes a break during a night mission near Honaker Miracle camp at the Pesh valley of Kunar Province August 12, 2009. Credit: REUTERS/Carlos Barria

Pictures of the Year

A look at the best photos of 2009.  Slideshow 

    PICTURES
    The Dalai Lama jokes with a nasal spray after being asked his opinion on the swine flu during a press conference after his first lecture in Lausanne, Switzerland, August 4, 2009. REUTERS/ Valentin Flauraud

    What a wacky year it's been...

    Um, what's up the Dalai Lama's nose? "Oddly Enough" editor Bob Basler rounds up the goofiest photos of the year.  Full Article 

    Oddly Enough
    A caution sign is seen next to a stock board at the Australian Securities Exchange (ASX) in Sydney September 5, 2008. REUTERS/Daniel Munoz
    Political Risk in 2010:

    Don't say we didn't warn you

    With the financial crisis (mostly) in the past, U.S. investors are eying a fresh start to the coming year. Here's a look at what speedbumps lie ahead.  Full Article 

    Global Markets