Analyst starts Brunswick with 'Hold' rating

The boating sector, along with many other industries, has been pressured as consumers curb spending due to the ongoing housing slowdown, diminishing credit, escalating food and fuel costs and recession fears.

Scott Hamann of KeyBanc Capital Markets said in a client note that he expects Brunswick to be squeezed in the intermediate term due to consumer spending constraints. The analyst noted that more than 80 percent of the company's total business comes from the recreational marine market.

Brunswick makes boats, boat engines, fitness equipment and bowling products.

Hamann was more optimistic on the company long term, saying its strong brand names, cost control efforts and new product development should "drive meaningful operating leverage long term."

Shares of Brunswick shed 38 cents, or 2.3 percent, to $16.15 in midday trading.