At Navistar, Is There Gas in the Tank?
Our client Vicki Bryan, Senior High Yield Analyst, Gimme Credit quoted here:
Update: In a note published this afternoon, Vicki Bryan, senior high yield analyst, at Gimme Credit, weighed in on Navistar and its latest earnings report. She wrote:
Navistar is still clawing back from near failure after finally abandoning in 2012 its colossally failed proprietary emissions system in all its legacy engines and trucks. Full recovery still is probably still years away, and we doubt Navistar will emerge as a strong market leader, but it finally has capable management in place which appears to be gaining traction with wary customers and is restoring profitability to the company’s drastically downsized operations. Improving cash generation is beginning to ease acute liquidity pressure and leverage is coming down rapidly on growing EBITDA.