Back to top

Analyst Blog

In an effort to diversify, CIT Group Inc. (CIT - Analyst Report) announced the acquisition of Nacco SAS  –  a premier full-service wagon leasing company headquartered in Paris. The terms of the deal, however, were kept confidential.

Nacco owns around 9,500 wagons and offers its services to about 150 customers in 16 countries. The company also operates subsidiaries in Hamburg, Germany, and Crewe, United Kingdom.

Nacco's wagons include tank cars, flat cars, gondolas and hopper cars that service the petroleum, chemical and petrochemical industries, as well as industries related to transportation of fertilizers, minerals, timber, steel, aggregates and agricultural products.

The Senior Vice President and General Manager of Locomotives for CIT Rail, will serve as the President of Nacco. In addition, the integrated unit will now be branded as Nacco, A CIT Company.

Europe ranks among the leading freight rail markets and CIT Group's foray into this market will provide an added boost to its rail leasing platform. Additionally, it will provide an opportunity for the company to become a premier provider of global transportation finance solutions.

Additionally, partnering a premier firm like Nacco will provide CIT Group the opportunity to use the former's expertise and reputation to tap customers for growing market share in Europe. This is expected to mitigate the stringent regulations and a weak economic recovery in the U.S.

CIT group currently carries a Zacks Rank #3 (Hold). Better-ranked stocks in the same sector include American Express Company (AXP - Analyst Report), Financial Engines, Inc. (FNGN - Snapshot Report) and Moody's Corporation (MCO - Analyst Report). All these stocks carry a Zacks Rank #2 (Buy).

Please login to or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research


Are you a new Zacks Member or a visitor to

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
SUPER MICRO… SMCI 27.00 +10.25%
CANADIAN SO… CSIQ 38.34 +8.18%
CENTURY ALU… CENX 26.97 +7.97%
WILLDAN GRO… WLDN 11.38 +5.86%
AROTECH COR… ARTX 3.78 +5.59%