Black & Decker Raises Q4 Profit Estimates
Jan 9, 2004
 Print this page

Shares of power tool maker Black & Decker Corp. increased after Bear Stearns raised the company's earnings estimates, citing a more favorable near-term outlook. The firm raised its fourth-quarter profit estimate to U.S. $1.35 from $1.28. It now expects 2003 earnings of $4.03, up from $3.96. The company's stock was up $1.77, or 3.65 percent, to $50.26, above its year high of $49.90 hit on Dec. 19, 2003.

Bear Stearns raised its fourth-quarter and 2003 earnings estimates, saying Black & Decker could benefit from weakness in the U.S. dollar and a stronger euro, cost savings from restructuring, and solid power-tool demand at retailers Home Depot Inc. and Lowe's Co., which accounted for 30 percent of Black & Decker's sales.

The firm also said it believed Black & Decker's DeWalt power tool line has not lost significant shelf space to the Ridgid line introduced last year at Home Depot, which is the exclusive retailer of the line. (Reuters)

Back to Breaking News