Use access key #2 to skip to page content.

IBDvalueinvestin (98.75)

MTOR forward pe of 4, come on now this is ridiculously low.



February 03, 2012 – Comments (1) | RELATED TICKERS: MTOR

Meritor's Dual-Mode hybrid system for Class 8 trucks, currently in development with Navistar, can operate in either series or parallel mode, switching to the optimal mode depending on the operating needs of the vehicle. In freight-specific fuel economy simulations, Navistar reports improvements in ton-mile/gallon evaluations of 8%-27%, depending on the application and duty cycle.

1 Comments – Post Your Own

#1) On February 06, 2012 at 11:49 AM, IBDvalueinvestin (98.75) wrote:

Fitch now even jumps on the Bandwagon:

Raises outlook to positive from stable:


Fitch Ratings has affirmed the 'B' Issuer Default Rating (IDR) and the various issue ratings of Meritor, Inc. (MTOR) and revised the company's Rating Outlook to Positive from Stable. A full list of the rating actions taken on MTOR is included at the end of this release. MTOR's ratings apply to a $441 million secured revolving credit facility and $1.1 billion of senior unsecured notes. The revision of the Rating Outlook to Positive is driven by Fitch's expectations of further strengthening in MTOR's credit profile over the medium term as end market demand solidifies, margins grow on stronger pricing and improved manufacturing efficiencies, and leverage declines on higher EBITDA and lower debt. Demand in all three of the company's core segments, Commercial Truck, Industrial and Asia Pacific, and Aftermarket and Trailer, will be supported by global economic growth, although weakness in Europe will negatively affect near term demand in that region. MTOR's defense-related business is also expected to rebound over the next year, as production of the U.S. military's Family of Medium Tactical Vehicles (FMTV) program continues to ramp up with a new primary contractor. Despite the improving business conditions, however, free cash flow is likely to be weighed down by higher pension contributions and relatively heavy capital spending, although Fitch expects full-year free cash flow to be positive in fiscal 2012.


Report this comment

Featured Broker Partners