Piper Jaffray Cuts Price Target on Noodles & Company (NDLS) to $6; Reiterates Underweight
- S&P little changed as energy weighs but financials edge up
- Nestle Said Examining Takeover of Mead Johnson (MJN) - Source
- Fed's Yellen says 'makes sense' to gradually raise interest rates
- UPDATE: Fed Beige Book: Wages gain modestly in most areas amid tight job market
- Mallinckrodt (MNK) Announces FTC Settlement
Find out which companies are about to raise their dividend well before the news hits the Street with StreetInsider.com's Dividend Insider Elite. Sign-up for a FREE trial here.
Piper Jaffray maintained an Underweight rating on Noodles & Company (NASDAQ: NDLS), and cut the price target to $6.00 (from $7.00), following the company's 2Q earnings report. EPS was reported at ($0.03), which was a touch better than expectations. Total revenues increased approximately 5.4% y/y, to $121.4M.
Analyst Nicole Regan commented, "Noodles & Company delivered operating EPS of ($0.03), which was a touch better than our expectations driven in part by system-wide SSS of (1.0%), which were previously pre-announced. Although not explicitly quantified we understand SSS trends in 3Q are likely to be in the (1.5%) to (2.0) range. This sequentially lower trend is driven by the overall competitive environment, challenged operations and tough YoY comparisons. The company also lowered guidance for FY16 while announcing plans to slow new unit growth to 10-15 new company units in FY17. That said, we maintain our Underweight rating and our price target ticks down to $6 based on our maintained ~8x multiple on our now lower FY17E EV/EBITDA."
Shares of Noodles & Co. closed at $7.25 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Credit Suisse Downgrades Himax Technologies (HIMX) to Neutral
- MKM Partners Cuts Price Target on Target (TGT) to $70 Following Reported Holiday Sales
- Broadcom (AVGO): Brocade Boosts Potential Upside to $250/sh - RBC
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change
Related EntitiesPiper Jaffray, Earnings
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!