Commercial Vehicle Group initiated with an Outperform at Noble Capital

Noble Capital analyst Joe Gomes initiated coverage of Commercial Vehicle Group with an Outperform rating and $10 price target. Demand for class 8 trucks exceeds supply and this is likely to continue given the aging fleet, making the long-term prospects for Commercial Vehicle’s key end markets "attractive," Gomes tells investors. In the midst of a business transformation, Commercial Vehicle has won over $2B of new business over the past two years and the pipeline of new opportunities is more than $5B, said the analyst, who adds that the new wins are concentrated in higher margin products that should drive up overall margins over time.