DCX stock gains on sale news

Wall Street analysts view the announced sale of Chrysler by its parent company DaimlerChrysler AG as a great deal for the German automaker but are taking a wait-and-see approach to determine whether the Auburn Hills-based Chrysler can make it on its own.

DaimlerChrysler stock (DCX) closed Monday at $84.12 up $2.12, or 2.6 percent a share. Several analysts listed the stock as a strong buy Monday with one German analyst estimating the stock without Chrysler could eventually reach $120.

Analysts say the long anticipated sale of 80.1 percent of Chrysler to Cerberus, a private multi-billion dollar investment firm, would have benefits for both sides, but mostly ends a nearly nine-year marriage between two companies with different goals and different operating styles.

While the stock price fluctuated upward only $2.12 after the official announcement was make, analysts said most of the upward adjustments already had been made once DaimlerChrysler executives indicated Chrysler was for sale in February.