Market Overview

UPDATE: Goldman Sachs Downgrades The Fresh Market Following Disappointing 3Q Results

Share:

In a report published Tuesday, Goldman Sachs analyst Stephen Grambling downgraded the rating on The Fresh Market (NASDAQ: TFM) from Buy to Neutral, and lowered the price target from $59.00 to $43.00.

In the report, Goldman Sachs noted, “We are downgrading TFM to Neutral from Buy following disappointing 3Q results. Our initial thesis had hinged on TFM seeing a multiple re-rating back to historical levels as new store productivity concerns proved temporary and the company demonstrated it could still grow EPS 20%+. However, we now believe TFM's expansion into more competitive markets will weigh on results and rising costs could further pressure ROIC. As such, we expect the current multiple compression to persist, leaving more limited upside, which drives our Neutral rating. Since adding TFM to the Buy list on February 18, 2013, the shares are -14% vs. the S&P 500 +19%.”

The Fresh Market closed on Monday at $39.97.

Latest Ratings for TFM

DateFirmActionFromTo
Apr 2016TerminatesNeutral
Apr 2016DowngradesOverweightEqual-Weight
Mar 2016UpgradesUnderweightEqual-Weight

View More Analyst Ratings for TFM
View the Latest Analyst Ratings

Posted-In: Goldman Sachs Stephen GramblingAnalyst Color Downgrades Analyst Ratings

 

Related Articles (TFM)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
ABBBarclaysInitiates Coverage On
DPLOWilliam BlairUpgrades
SUPVItau BBADowngrades
GGALItau BBADowngrades
BMAItau BBADowngrades
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

UPDATE: Janney Capital Downgrades Francesca's Holdings as Environment Pressures Margins

UPDATE: Piper Jaffray Upgrades Forest Laboratories, Previous Thesis is No Longer Tenable