Lear Corporation (NYSE:LEA) shares rose $2.24, or 5.8%, to $40.88 in early trading today after Pzena Investment Management LLC voiced its opposition against Icahn's $36/share buyout offer, suggesting the stock's real value is closer to $60/share. Pzena sent a letter to the company's board of directors suggesting that earnings are likely to recover to more than $4.00 per share over the next few years from consensus analyst estimates of $2.00 per share for 2007, pegging the company's value closer to $60 per share.

The hedge fund also said that was concerned with the recent trend towards private equity firms teaming up with management to "steal" companies from their owners at the expense of shareholders. Consequently, Pzena reminded the board of its fiduciary obligation to shareholders and urged them to seek other offers for the company and exclude management from this process (since preserving their jobs and enriching themselves comes at the expense of shareholders). Combined, Pzena makes several valid points and shareholders seem to be applauding the idea as LEA shares are trading substantially higher than the buyout premium. Now that there could be additional offers for the company or a raised bid by Icahn, this is certainly a stock worth keeping an eye on over the next few weeks!

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