NationsBank"NationsBank (NCB, NYSE, $36) will be created...

STOCK WATCH

December 18, 1991|By Opinions on stocks offered by investment experts. Compiled by Steve Halpern for Knight Ridder.

NationsBank

"NationsBank (NCB, NYSE, $36) will be created by year end as a result of the merger between NCNB and C&S/Sovran to create a $118 billion banking company," says Allerton Smith of First Boston. "With a 2,000-branch network, it will be the most diverse banking franchise in the eastern United States.

"We believe the stock price could exceed $50 a share by year-end 1992. This price target represents a P/E multiple of only 8.7 times our 1993 earnings estimate of $5.75 per share. We reaffirm our buy rating."

Teco Energy

"Teco (TE, NYSE, $38) has diversified properly," says United & Babson Investment Report, Wellesley Hills, Mass. "Besides providing electricity to Tampa and enjoying superior growth, the company is involved in coal, gas and water transportation.

"Combined with strong electricity sales, profits within its service territory and to other utilities, profits should rise this year to around $2.60 a share. Dividend payments have doubled over the past 10 years and have gone up in each year of the past 37. The stock . . . is a buy for 1992."

Intl. Recovery

"We believe International Recovery (INT, NYSE, $20) is an outstanding investment choice for aggressive growth-oriented investors," says Robert Figliozzi, Stamford Co.

"A global leader in providing aviation fuel to secondary cargo and passenger airlines, charters, private aircraft. Revenues have grown from $10.8 million in 1987 to $234 million. . . . Earnings rose from 10 cents to $1.02 a share. For the fiscal year ending next March, we project earnings of $1.30 a share, with a gain to $1.70 in fiscal 1993."

CalFed, Glenfed

"Shares of both CalFed (CAL, NYSE, $1.50) and Glenfed (GLN, NYSE, $3.75) continue to move up and down as if on a roller coaster," says The Prudent Speculator, Santa Monica, Calif., due to rumors of a merger of the two banks involving a cash infusion and government assistance.

"Our analysis and recommendation is based on the banks remaining independent entities. We continue to recommend purchase of CalFed up to 3 1/2 and Glenfed up to 5 1/2 . . . for aggressive investors only. . . . Target prices: CalFed 4, Glenfed 9."

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