UPDATE: Cantor Fitzgerald Lowers PT on SuperValu from $10 to $6
Cantor Fitzgerald reiterated a Buy rating on SuperValu (NYSE: SVU) and lowered its price target from $10 to $6.
Cantor Fitzgerald noted, “Although we anticipated the timing of SVU's earnings release to follow its annual shareholders' meeting on 7/17, last night SVU reported 1Q:13 EPS of $0.19 (below our est. of $0.36 and the consensus figure of $0.38). The ID sales decline of 3.7% was weaker than our -2.5% estimate. Management has also suspended the dividend, withdrawn FY:13 guidance, and has announced a more aggressive price investment and cost reduction strategy. In addition, SVU's Board is actively pursuing strategic alternatives.”
SuperValu closed at $5.29 on Wednesday.
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