WASHINGTON (AP) ¿ Shares of Cascade Corp. sank Friday after two Wall Street analysts downgraded the company following a disappointing fiscal first-quarter report.
Shares of the Portland, Ore.-based company, which makes forklift attachments and other loading gear, fell $5.22, or 17.4 percent, to $24.85 in afternoon trading. The company's stock has traded between $12.81 and $53.76 over the last 52 weeks.
Rodman & Renshaw analyst Joe Giamichael lowered his rating from "Market Perform" to "Market Underperform."
"In response to the weak outlook for its products, management is taking aggressive measures to reduce costs and will continue to incur restructuring charges for the next several months as they rationalize operating facilities," said Giamichael in a note to clients.Cascade anticipates full-year restructuring costs between $20 million and $25 million, said Giamichael. He lowered his earnings and revenue estimates for fiscal 2010 and 2011. CJS Securities Arnold Ursaner downgraded the stock from "Market Perform" to "Market Underperform." "While we remain confident that Cascade will survive this downturn and become a stronger company in the recovery, we think the next several quarters will have significant headwinds," said Ursaner in a note to clients. On Thursday, the manufacturer recorded a loss of $1.12 per share for the quarter ended April 30. Revenue fell 49 percent to $76.3 million.