Starbucks union plans Red Cup Day strike in 25+ cities - Bloomberg
Investing.com - Needham raised its price target on Blue Bird Corp (NASDAQ:BLBD) to $70 from $53 while maintaining a Buy rating on the school bus manufacturer. This new target aligns with the highest analyst price objective for the company, which currently trades at a P/E ratio of 14.4. According to InvestingPro data, Blue Bird appears undervalued based on its Fair Value assessment.
The research firm cited the return of higher average selling price (ASP), EPA-subsidized electric school buses as a key driver for potential multiple expansion, despite the company already showing an improved margin profile.
Needham’s new target represents 10x Blue Bird’s FY26 estimated adjusted EBITDA, up from its previous 7.5x multiple, reflecting increased confidence in the company’s business strength.
The analyst noted that recent merger and acquisition activity in the specialty vehicle industry reinforces the "scarcity value" of Blue Bird’s business, contributing to the higher valuation target.
Needham remains bullish on Blue Bird’s positioning in the North American school bus industry, highlighting that the company’s chassis business provides "a call option on future growth."
In other recent news, Blue Bird Corporation announced the termination of its joint venture with Generate Capital, known as Clean Bus Solutions, LLC. This decision, approved by both companies’ boards, will lead to the winding down and dissolution of the legal entity. The joint venture was initially formed to offer electrification-as-a-service using electric school buses. Meanwhile, DA Davidson has reiterated its Buy rating on Blue Bird, highlighting a 26% year-over-year decrease in school bus orders for September but noting a 16% growth for the third quarter of 2025. Additionally, Freedom Capital Markets initiated coverage on Blue Bird with a Buy rating and set a price target of $67. Blue Bird’s focus on alternative-fuel and electric models was identified as a key factor in their analysis. In other company news, HF Foods Group appointed Jeffery Taylor to its Board of Directors. Taylor brings extensive senior finance leadership experience, having previously served as VP, Chief Financial Officer, and Chief Accounting Officer at Franklin Electric Co., Inc.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.