Market Overview

UPDATE: Citigroup Reiterates on Blackhawk Network Following Perfect Storm of Negative Factors

Jefferies' IT Roundup
Here's What Wall Street Is Saying About Blackhawk Network's Earnings
IPO Leaders Q1 Earnings Winners And Losers (Investor's Business Daily)

In a report published Friday, Citigroup analyst Ashwin Shirvaikar reiterated a Buy rating on Blackhawk Network (NASDAQ: HAWK), but lowered the price target from $33.00 to $26.00.

In the report, Citigroup noted, “A perfect storm – a 4Q13 miss; tepid 2014 bottom-line guidance; Safeway's spin of its entire ownership stake – led HAWK stock down ~20%. At current levels, there is interest for HAWK stock but the timing of the announced spin (mid-March) implies the stock likely continues to be at this depressed level for a month. The seasonality of the business doesn't help matters, since there is no real catalyst in the next couple of quarters from a numbers standpoint. Having said this, adjusted operating revenue growth of 24%-28% and adjusted EBITDA growth of 20%-24% is strong and comments on a 2014 load value growth are positive. We are lowering our estimates and price target to $26 from $33 but HAWK remains a Buy at these lower levels.”

Blackhawk Network closed on Thursday at $22.41.

Latest Ratings for Hawk

May 2015CLSAInitiates Coverage onUnderperform
Apr 2015CitigroupMaintainsBuy
Feb 2015GabelliInitiates Coverage onBuy

View More Analyst Ratings for Hawk
View the Latest Analyst Ratings

Posted-In: Ashwin Shirvaikar CitigroupAnalyst Color Price Target Analyst Ratings


Related Articles (Hawk)

Around the Web, We're Loving...