Blue Bird initiated with an Overweight at Barclays

Barclays initiated coverage of Blue Bird with an Overweight rating and $25 price target. The analyst says the company’s backlogs are high and public support for school bus investment is strong. However, a slowdown in the rate of change of orders and backlogs compressing likely keeps the stock’s risk/reward more balanced than the opportunity set ahead of the industry, the analyst tells investors in a research note.