Nigel Coe, a Deutsche Bank analyst, downgraded Kaydon Corporation’s stock from "Hold" to "Buy," causing shares in the company to tumble. Coe also reduced his earnings per share estimate for the stock, dropping it from $2.01 to $1.76. Afterwards, Kaydon stock decreased in value by $2.02, closing at $31.10 on Friday.
Coe downgraded the stock based "on concerns about the stock’s relative strength, as well as weakness in the company’s core bearings business."
Deutsche Bank analyst Nigel Coe said Friday he expects a double-digit percentage decline this year in revenue from the company’s bearings segment, which operates in one of "the most cyclical of all capital goods categories."
The analyst also said he expects revenue from the Ann Arbor, Mich., company’s wind energy segment to decline to $120 million from $145 million this year.