Piper Jaffray Reiterates PolyOne Corporation Rating

Piper Jaffray is reiterating its OW stance on PolyOne Corporation POL into 3Q results Thursday as several of the earnings releases last week suggested strong results for PolyOne. “PolyOne has experienced 3x's Ashland's y/y plastics distribution volume growth in 1H10 and we believe the trend will continue in 3Q10,” Piper Jaffray writes. “Lastly, Olin's reported equity earnings from their JV with PolyOne point to $0.03 of upside to our 3Q10 EPS. These data points boost our confidence in our street high 3Q estimate for PolyOne.” Piper Jaffray said that its $15 PT (14x FY11 EPS $1.06) is based on PolyOne's global momentum in specialty plastics business, and catalysts in PPS and POD segments. PolyOne Corporation closed Friday at $12.92.