NOL - NOL upgraded to Outperform by Macquarie with $2.50 target

Stock Name: NOL
Company Name: NEPTUNE ORIENT LINES LIMITED
Research House: MacQuarie

Macquarie upgrades Neptune Orient Lines (N03.SG) to Outperform from Underperform, lifts target price to $2.50 from $1.25, based on 1.2x P/B, says Dow Jones.



Changes reflect stronger-than-expected recovery in container shipping freight rates, NOL’s substantial exposure to Transpacific, Asia-Europe long-haul routes.



“We believe NOL can maintain solid volume growth” supported by strong relationships with customers such as Target, Limited Brands and Kimberly Clark; “these relationships lead to less reliance on spot rates, especially on the important Transpacific routes, which account for over half of revenues.”



Shares +1.0% at $2.00.