BlueStone Capital Partners Announces Investment Opinion on NationsRent Inc.Business Editors NOTE TO EDITORS: The following is an investment opinion issued by BlueStone bluestone, common name for the blue, crystalline heptahydrate of cupric sulfate called chalcanthite, a minor ore of copper. It also refers to a fine-grained, light to dark colored blue-gray sandstone. Capital Partners NEW YORK--(BUSINESS WIRE)--Aug. 10, 2000 BlueStone Capital Partners, L.P. Initiates Coverage on NationsRent with a 1-1 Rating. Senior Analysts Jeff L. Evans Ev·ans , Herbert McLean 1882-1971. American anatomist who isolated four pituitary hormones and discovered vitamin E (1922). , CFA (Computer Fraud and Abuse Act of 1986) Signed into law in 1986, the CFA was a significant step forward in criminalizing unauthorized access to computer systems and networks. The Act applies to "federal interest computers" that include any system used by the U.S. and Walter V. Nasdeo of BlueStone Capital Partners, L.P. initiate coverage Initiate coverage (1) Firm is now followed by analysts at a particular securities house; (2) Indication to cover short position by purchasing the underlying stock (this cancels out the short position). on NationsRent Inc. (NRI NRI Nomura Research Institute (Tokyo, Japan) NRI Non-Resident Indian NRI Natural Resources Institute NRI National Resources Inventory NRI Networked Readiness Index NRI Natural Resources Inventory NRI National Research Institute ; NYSE-$4.06) with a 1-1 Outperform Outperform An analyst recommendation meaning a stock is expected to do slightly better than the market return. Notes: Exact definitions vary by brokerage, but in general this rating is better than neutral and worse than buy or strong buy. - Outperform investment rating. The intermediate target price is $6.00 and long-term target price is $8.00, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the analysts.
Analyst's Summary
-- We are initiating coverage of NationsRent Inc., with a 1-1
(Outperform-Outperform) rating. Our intermediate and long-term
price targets are $6.00 and $8.00, respectively, representing 48%
and 97% upside from current levels. Price targets are based on a
multiple of 14 times our 2000 EPS estimate of $0.42 and 15 times
our 2001 estimate of $0.53.
-- NationsRent, the fastest growing company of the equipment rental
group, specializes in industrial and construction equipment rental
through an integrated network of nationally branded stores in
high-growth markets.
-- NationsRent's partnership with Lowes Companies
(LOW-NYSE-$44.88-Not Rated) is expected to broaden its product and
service offerings allowing the company to capitalize on the
emerging awareness of its brand.
-- Encouraging signs are already emerging within the existing pilot
locations. Management pointed out that about 75% of business has
been generated essentially by walk in traffic and "new" customers.
-- NationsRent recently received an additional $225 million in
financing, which although dilutive near term, provides the capital
to fund the company's internal growth initiatives.
-- The company announced second-quarter results in line with
consensus at $0.07 per diluted share.
-- The financial and operational benefits of renting and the
continuing trend to outsource equipment ownership support an
industry growth rate of about 15%.
BlueStone Capital Partners, L.P. is a full-service investment banking and brokerage firm that delivers financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. to emerging growth and medium-size companies worldwide. BlueStone Capital assists clients in maximizing their growth by providing sophisticated investment strategies that are designed to achieve clients' strategic, operating and financial goals. |
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