Dana rises after RBC lifts rating on off-highway deal upside

Shares of auto components provider Dana DAN.N rise 3.5% to $16.29 premarket

RBC upgrades stock to "outperform" from "sector perform," citing "increased conviction" that DAN will announce Off-Highway deal in June

DAN last year announced sale of its Off-Highway business, which makes auto systems for heavy-duty vehicles used in agriculture, materials handling, mining, forestry and construction end-markets

RBC expects deal to positively impact shares, contribute incremental capital return to shareholders

Lifts PT to $20 from $14, which represents 27.1% upside to stock's last close

Six brokerages rate stock "buy", two "hold" and 1 "sell"; their median PT is $20 - LSEG-compiled data

As of last close, stock had risen 36.2% YTD