UPDATE: Canaccord Genuity Downgrades Finish Line to Hold on Headwinds
Canaccord Genuity reduced its rating on Finish Line (NASDAQ: FINL) from Buy to Hold and lowered its price target from $28 to $20.
Canaccord Genuity noted, "We are downgrading FINL to HOLD from Buy based on a confluence of issues that are likely to pressure comp growth and reduce visibility over the next few quarters. These include (1) an increase in promotional activity in running, (2) decelerating price increases, and (3) issues with its new e-commerce website over Black Friday. In our view, these factors will weigh on the stock, capping any near-term upside potential. Despite having been patient during this investment year, we are increasingly skeptical that the expected comp gains will materialize in 2013 in the face of a tougher industry backdrop."
Finish Line closed at $17.96 on Thursday.
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