Titan International (NYSE:TWI) is a leading company in the OTR wheel and tire market. Titan shares have plunged almost 40% from their 52-week high from two weak quarters, announcement of near-term weakness in the tire market, and investor fears about drops in commodity prices. However, only the fear about a potential drop in commodity prices is warranted. The company has already shown noticeable improvement and the near-term worries, while they may affect the next quarter or two, mask Titan's long-term opportunities and intrinsic strengths. Barring a significant long-term contraction in commodity prices combined with a change in Titan's ability to control costs, Titan could be conservatively undervalued by over 30%.
Titan operates in the off-the-road...
|FREE||SA PRO MEMBERS|
|IDEA GENERATOR||X||Exclusive access to 10 PRO ideas every day|
|INVESTING IDEAS LIBRARY||X||Exclusive access to PRO library of more than 15,000 ideas|
|SECTOR EXPERT NETWORK||X||Exclusive access to all sector experts for direct consultation|
|PERFORMANCE TRACKING||X||Track performance of all PRO stock ideas|
|PROFESSIONAL TOOLS||X||Professional Idea Filters to zero-in based on industry, market cap and more|