Chicago Bridge & Iron (CBI) Downgraded by Zacks Investment Research to Sell
Zacks Investment Research lowered shares of Chicago Bridge & Iron (NYSE:CBI) from a hold rating to a sell rating in a research note issued to investors on Thursday.
According to Zacks, “Chicago Bridge & Iron's margins have been deeply affected by a rise in cost on IPL and Calpine power projects as well as with execution of its other projects in recent times. Decline in U.S. storage tank work and federal government spending, along with constant project deferrals are proving to be major headwinds. Consequently, the company’s shares have underperformed the industry average in the past year. However, the company has taken a flurry of measures to address its chronically poor project execution, improve efficiency and strengthen its balance sheet. Its merger with McDermott should generate sizeable revenue and cost synergies, with immense scale and diversification to capitalize on global growth opportunities. The company is now well-placed for major EPC and storage projects for multiple regasification terminals in the Asia-Pacific region owing to significant increase in demand for LNG worldwide, which should drive growth.”
A number of other research analysts also recently commented on CBI. KeyCorp raised shares of Chicago Bridge & Iron to an overweight rating and set a $14.00 price objective for the company in a research report on Wednesday, January 24th. Macquarie raised shares of Chicago Bridge & Iron from an underperform rating to a neutral rating in a research report on Tuesday, December 19th. DA Davidson downgraded shares of Chicago Bridge & Iron from a buy rating to a neutral rating and set a $19.00 price objective for the company. in a research report on Tuesday, December 19th. ValuEngine raised shares of Chicago Bridge & Iron from a strong sell rating to a sell rating in a report on Friday, December 1st. Finally, MKM Partners downgraded shares of Chicago Bridge & Iron from a buy rating to a neutral rating in a report on Wednesday, January 3rd. Four research analysts have rated the stock with a sell rating, eleven have assigned a hold rating and three have given a buy rating to the company. Chicago Bridge & Iron has an average rating of Hold and an average price target of $19.07.
In other Chicago Bridge & Iron news, EVP Daniel M. Mccarthy sold 7,500 shares of Chicago Bridge & Iron stock in a transaction dated Wednesday, December 20th. The shares were sold at an average price of $16.07, for a total value of $120,525.00. Following the completion of the sale, the executive vice president now owns 89,964 shares in the company, valued at approximately $1,445,721.48. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 1.10% of the stock is owned by insiders.
Institutional investors have recently modified their holdings of the business. Ameritas Investment Partners Inc. raised its stake in Chicago Bridge & Iron by 1,648.8% in the 2nd quarter. Ameritas Investment Partners Inc. now owns 8,849 shares of the construction company’s stock worth $175,000 after purchasing an additional 8,343 shares in the last quarter. Cubist Systematic Strategies LLC acquired a new position in shares of Chicago Bridge & Iron in the 2nd quarter valued at approximately $177,000. Stratos Wealth Partners LTD. acquired a new position in shares of Chicago Bridge & Iron in the 3rd quarter valued at approximately $176,000. Wedbush Securities Inc. acquired a new position in shares of Chicago Bridge & Iron in the 3rd quarter valued at approximately $196,000. Finally, Traynor Capital Management Inc. acquired a new position in shares of Chicago Bridge & Iron in the 3rd quarter valued at approximately $222,000. Institutional investors and hedge funds own 70.70% of the company’s stock.
About Chicago Bridge & Iron
Chicago Bridge & Iron Company N.V. provides services to customers in energy infrastructure market. The Company provides services, such as conceptual design, technology, engineering, procurement, fabrication, modularization, construction, commissioning, maintenance, program management and environmental services.
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