NEW YORK (AP) ¿ Shares of Ferro Corp. spiked Wednesday after an analyst said the specialty materials and chemicals maker likely will be able to improve earnings after posting a first-quarter loss.
The stock rose 80 cents, or 18.1 percent, to $5.17 in morning trading. Shares of Ferro, which makes nonstick coatings for cookware, as well as solar cell parts and metallic coatings, have traded between 81 cents and $24.13 in the past 52 weeks.
KeyBanc Capital Markets analyst Michael J. Sison upgraded the company to "Buy" from "Hold" and set an $8 price target, implying he expects shares to jump 83 percent from Tuesday's $4.37 close.The upgrade came after Ferro posted a first-quarter loss and said sales dropped 39 percent. But Sison said those results likely were the bottom, and performance should improve. "We believe Ferro will emerge from this downturn a much leaner and better organized specialty chemical company with significant earnings potential down the road," he said in a note to clients.