UPDATE: Citigroup Initiates Zales at Buy on Comps Momentum
Citigroup initiated coverage on Zales (NYSE: ZLC) with a Buy rating and a $9 price target.
Citigroup noted, "At ZLC we see stock upside as comp store sales momentum continues on improved product execution and portfolio, a fixed capital structure, and better store initiatives. EPS growth is poised to accelerate on a substantial operating margin expansion as ZLC gains share. We apply a price target of $9 on 0.35x sales and 5.4x EBITDA multiple."
Zales closed at $6.63 on Thusday.
Latest Ratings for ZLC
|Feb 2014||CL King||Downgrades||Buy||Sell|
|Feb 2014||Northcoast Research||Downgrades||Buy|
© 2015 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.