EBI Securities Corporation Reiterates BUY Rating on Coyote Sports, Inc.
Author/s:
Issue: August 26, 1998
DENVER, Aug. 26 /PRNewswire/ -- EBI Securities Corp. research analyst Dave Lavigne increased his rating on Coyote Sports, Inc. (Nasdaq: COYT) to a STRONG BUY and increasing his earnings estimate for FY99 from $0.09 to $0.15 per share.
Coyote Sports, Inc. is a Boulder, Colorado based company that designs, engineers, manufactures, markets and distributes brand name sports equipment and recreational products worldwide. The Company's products include steel and graphite golf shafts, premium grade cycle tubing, composite ski poles and javelins. The Company also produces graphite and other advanced composite materials for use in the production of golf shafts, fishing poles, ski poles, hockey sticks and other third party manufactured products.
The Coyote numbers for June were essentially what Lavigne expected, with the exception of the extraordinary gain related to the divestiture of the Ice line. With respect to Ice, he does not view the divestiture as particularly material one way or the other due to the fact that it really did not make a measurable contribution. In fact, Lavigne believes that it probably represented a negative contribution, so getting rid of it probably produces a small net gain. Clearly, the company's focus is on the golf shaft side, which he expects the company to continue to exploit. Additionally, he expects to see the company expand on its presence on the cycling side as well. As a result of the extraordinary gain, Lavigne raised his estimate for FY99 from $0.09 - $0.10 to $0.15 - $0.16 per share. At this point he will continue to carry his FY00 estimate of $0.60 per share.
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June 29, 1999
Bankruptcy possible
Boulder-based Coyote Sports Inc. says it may be forced to file for bankruptcy protection if it can't come to some agreement with its lenders. The company says a plan is under way to restructure its finances. Coyote, which manufactures golf shafts and bicycle tubes, also says it's likely to be delisted from Nasdaq. |
