Diebold rises; Jefferies upgrades on new chief executive | VailDaily.com

Diebold rises; Jefferies upgrades on new chief executive

NEW YORK – Diebold Inc. stock rose Tuesday after Jefferies & Co. upgraded the stock to “buy” from “hold,” citing the appointment of Chief Executive Thomas Swidarski.Shares of North Canton, Ohio-based Diebold rose $2.01, or 5.3 percent, to close at $39.74 on the New York Stock Exchange.Jefferies was also encouraged by Diebold’s backing of its fourth-quarter and 2005 forecast, even though Jefferies’ own estimates are at the low-end of Diebold’s expectations.The brokerage firm said it had a “hold” rating on Diebold because of “management issues” with the recent departure of the operating chief and finance chief, but Swidarski “has the experience and knowledge of the business needed to improve the operating results of the company.”Swidarski was appointed chief operating officer and president of the company in October.Diebold, which makes automated teller machines, security systems and voting machines, reported an earnings shortfall for each of the first three quarters of 2005.On Monday, Diebold said it continues to expect fourth-quarter earnings of 50 cents to 60 cents a share, including restructuring charges of about 13 cents a share.Jefferies anticipates fourth-quarter earnings of 65 cents a share, excluding items.In the year-ago fourth quarter the company earned 87 cents a share.Vail, Colorado

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