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Lumber Liquidators Is Down 55% In A Month; Here's Everything You Might've Missed

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Lumber Liquidators Is Down 55% In A Month; Here's Everything You Might've Missed

Shares of Lumber Liquidators have more than halved since news that the company would be featured in a negative "60 Minutes" piece was broken on Benzinga Professional. Since then, airwaves have been polluted by noise.

The following timeline helps to straighten everything out.

February 25

Shares open lower after missing Q4 earnings expectations. Sales $271.98 million versus $279.95 million, EPS $0.64 versus $0.76.

Benzinga Professional reports Lumber Liquidators will be featured in a negative "60 Minutes" story.

Bloomberg later reports that the DOJ is considering criminal charges.

Related Link: What The World Thinks Of Lumber Liquidators In 6 Charts

Piper Jaffray downgrades from Overweight to Neutral and lowers the price target from $80 to $55.

February 26

"60 minutes" confirms it will run a March 1 story that Chinese-made laminate may contain an unhealthy amount of formaldehyde.

Wedbush downgrades from Outperform to Neutral.

Evercore downgrades from Buy to Hold.

March 1

"60 Minutes" story airs. The initial reaction is very negative.

CEO Tom Sullivan says he will investigate if there are unsafe levels of formaldehyde.

March 2

Lumber Liquidators 8k says the company is a leader in safety and an improper testing method was used in the "60 Minutes" story.

Short-seller Whitney Tilson says the company is worth $0. "They uncovered many things I didn't know and I am now even more convinced that this stock is a zero."

Morgan Stanley downgrades from Overweight to Equal-Weight.

March 3

Janney Capital upgrades from Neutral to Buy.

March 4

Reuters reports Senator Bill Nelson asked three government agencies to investigate Lumber Liquidators.

March 5

Goldman Sachs lowers price target from $60 to $40, maintains a Buy rating.

March 6

Whitney Tilson says he has increased his short position.

March 10

Blackrock increases its stake up about 4 percent to 10.1 percent.

March 11

Hedge fund manager Bob Chapman says he has a long position in Lumber Liquidators.

March 12

Lumber Liquidators cuts fiscal year 2014 guidance from $2.65-$3.00 to $2.38-$2.52.

The company hosts an update conference call. Shares rally as CEO Tom Sullivan reiterates that the testing method used by "60 Minutes" was inappropriate.

March 13

Goldman Sachs downgrades from Buy to Neutral.

Jefferies maintains a Hold rating, lowers price target from $52 to $33.

Image credit: Dwight Burdette, Wikimedia

Latest Ratings for LL

DateFirmActionFromTo
Jan 2021Morgan StanleyMaintainsUnderweight
Jan 2021Loop CapitalDowngradesBuyHold
Aug 2020Morgan StanleyMaintainsUnderweight

View More Analyst Ratings for LL
View the Latest Analyst Ratings

The preceding article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.

 

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