Feb. 4 (Bloomberg) -- Cargotec Oyj, a Finnish maker of port cranes and forklifts, rose the most in three weeks in Helsinki trading after Carnegie Investment Bank AB said growth in the terminal unit will boost the stock price.
Cargotec rose as much as 4 percent, the most since Jan. 15, to 21.77 euros and gained 2.3 percent at 1:35 p.m. in the Finnish capital. That was the biggest increase on the Nasdaq OMX Helsinki 25 Index. Trading volume on the stock was 44 percent of the three-month daily average.
Cargotec’s terminal business accounted for 44 percent of the Helsinki-based company’s revenue at end of the third quarter when its sales grew 27 percent. Carnegie analyst Timo Heinonen today raised his recommendation to buy from hold, citing higher earnings from the unit.
The stock offers “at least 50 percent upside for the patient investor,” Heinonen said. “New management has an impressive record.”
Cargotec named Finnair Oyj’s Mika Vehvilaeinen as chief executive officer last week. Vehvilaeinen starts in the role at the beginning of next month. The company reports fourth-quarter earnings on Feb. 12
Cargotec’s share price will match its current stock price in the next 12 months, according to an estimate of six analysts surveyed by Bloomberg. The 12-month price estimate of 21.67 euros is the highest since Oct. 15, according to data compiled by Bloomberg.
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