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The Street Turns Its Back On Fitbit

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The Street Turns Its Back On Fitbit

After Fitbit Inc (NYSE: FIT)'s not-so-disappointing Q3 report but lowered guidance for Q4 and beyond, the market reacted. Shares were trading down nearly 30 percent mid-day Thursday with little or no bounce back after hitting $9 per share.

Morgan Stanley Research: Downgraded to Equal Weight from Overweight; lowered price target from $31 to $11.

“Fitbit needs new products and partnerships to re-accelerate growth, and management needs to improve execution to gain investor confidence but both will take at least several quarters,” said analyst Jerry Liu.

Leerink Partners: Maintained Market Perform rating; lowered pt from $16 to $9.

“Our Price Target drops to $9 from $16 as we assume a lower multiple given growth concerns,” said analyst David Larsen.

Citi Research: Downgraded to Neutral from Buy; pt lowered from $16 from $16.

“A confluence of new product challenges and weaker end demand curtailed the Q4 outlook, while saturation is taking hold in Fitbit’s largest markets (US and Australia),” said analyst Stanley Kovler.

SunTrust Robinson Humphrey: Downgraded to Hold from Buy; pt lowered from $17 to $10.

“We think demand for current product feature set may be saturated, and at this point, only new product form factors and functionality could inflect demand, which we don't expect until well into 2017,” said analyst Robert S. Peck.

At last check, Fitbit was down 32.94 percent at $8.59.

Image Credit: By Raysonho @ Open Grid Scheduler / Grid Engine - Own work, CC0, https://commons.wikimedia.org/w/index.php?curid=44147483

Latest Ratings for FIT

DateFirmActionFromTo
Dec 2020Morgan StanleyDowngradesEqual-WeightUnderweight
Nov 2019DA DavidsonDowngradesBuyNeutral
Nov 2019CitigroupUpgradesSellNeutral

View More Analyst Ratings for FIT
View the Latest Analyst Ratings

 

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