NEW YORK (TheStreet) -- American Railcar Industries, Inc. (ARII) shares are climbing, up 1% to $70.89, on Thursday after activist investor Carl Icahn (IEP) resigned from his position as the company's director and chairman.
The company stated that the resignation was not a result of any disagreement between Icahn and the company, but rather Icahn wanted to reduce the number of boards he serves on.
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TheStreet Ratings team rates AMERICAN RAILCAR INDS INC as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate AMERICAN RAILCAR INDS INC (ARII) a BUY. This is driven by multiple strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity and compelling growth in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow."