UPDATE: Canaccord Genuity Downgrades Lowe's Companies to Sell
Canaccord Genuity reduced its rating on Lowe's Companies (NYSE: LOW) from Hold to Sell while raising its price target from $25 to $27.
Canaccord Genuity commented, "The recent management realignment appears counterproductive in our view as senior merchandising and supply chain executives were reassigned to customer experience positions amid the restructuring process. We do not believe LOW's store resets have created a significant enough improvement and are particularly disappointed by the endcap initiative. The company continues to make major investments in e-commerce while only 1% of total sales are generated online, and we believe e-commerce is unlikely to be a significant driver in the home improvement channel."
Lowe's Companies closed at $35.58 on Friday.
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.