Bucyrus International surges on analyst upgrade

AP News
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Posted: Jan 04, 2010 4:53 PM

Shares of Bucyrus International Inc. surged Monday after Barclays Capital raised its earnings forecasts and share price target for the mining equipment maker, citing a recent acquisition and improved customer demand.

Shares of Bucyrus rose $6.31, or 11.2 percent, to close at $62.68, having reached a new 52-week high of $62.79 during the session.

Bucyrus, based in South Milwaukee, Wis., said last month it will double its market with the purchase of Terex Corp.'s mining equipment division for $1.3 billion.

In a research note Monday, Barclays Capital analyst Andy Kaplowitz predicted Bucyrus' revenue in 2010 will meet or surpass last year's total.

Kaplowitz now estimates Bucyrus will earn $3.55 per share, up from $2.90, for 2010 and $4.30, up from $3.55, in 2011. He raised his price target to $73.