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UPDATE: Piper Jaffray Downgrades Cabela's to Neutral, Lowers PT

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In a report published Friday, Piper Jaffray & Co. downgraded its rating on Cabela's (NYSE: CAB) from Overweight to Neutral, and lowered its price target from $63.00 to $47.00.

Piper Jaffray noted, “We are downgrading shares of CAB to Neutral following Q3 results that were below our expectations and our view that upside to estimates will be more limited going forward. Q3 EPS of $0.60 was shy of our $0.61 estimate as both sales and margins were lighter than expected. While the shortfall was relatively small, we are concerned that sales growth will be increasingly costlier in the form of advertising and free shipping. Our new $47 PT (from $63) is based on 15x FY13E EPS and still represents a premium to the 12.4x historical average, which we believe is appropriate given accelerating retail store growth.”

Cabela's closed on Thursday at $46.10.

Latest Ratings for CAB

Oct 2016BarclaysDowngradesOverweightEqual-weight
Oct 2016Feltl & Co.DowngradesBuyHold
Feb 2016Forward ViewUpgradesHoldSpeculative Buy

View More Analyst Ratings for CAB
View the Latest Analyst Ratings

Posted-In: Piper Jaffray & Co.Analyst Color Downgrades Analyst Ratings


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