Jefferies Downgrades ArthroCare (ARTC) to Hold, Cuts Numbers
Get Alerts ARTC Hot Sheet
Price: $48.60 --0%
Rating Summary:
3 Buy, 6 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 17
Rating Summary:
3 Buy, 6 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 17
Join SI Premium – FREE
Jefferies downgraded ArthroCare (NASDAQ: ARTC) from Buy to Hold with a price target of $25 (down from $32).
The firm comments, "Our thesis on ARTC has been partially based on the eventual acquisition of the company. However, because of a new and entirely unexpected DOJ civil investigation, this outcome is not likely anytime soon. Given the underlying performance of the business, the valuation at current levels is unsupportable without the premium a potential acquisition provides. We are downgrading to Hold and lowering our price target to $25 from $32."
The firm cut Q1 EPS from $0.39 to $0.36 and FY12 from $1.62 to $1.45. FY13 was maintained at $1.60.
For an analyst ratings summary and ratings history on ArthroCare click here. For more ratings news on ArthroCare click here.
Shares of ArthroCare closed at $30.77 yesterday.
The firm comments, "Our thesis on ARTC has been partially based on the eventual acquisition of the company. However, because of a new and entirely unexpected DOJ civil investigation, this outcome is not likely anytime soon. Given the underlying performance of the business, the valuation at current levels is unsupportable without the premium a potential acquisition provides. We are downgrading to Hold and lowering our price target to $25 from $32."
The firm cut Q1 EPS from $0.39 to $0.36 and FY12 from $1.62 to $1.45. FY13 was maintained at $1.60.
For an analyst ratings summary and ratings history on ArthroCare click here. For more ratings news on ArthroCare click here.
Shares of ArthroCare closed at $30.77 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- HSBC Downgrades Feng Tay Enterprises (9910:TT) to Hold
- Comerica (CMA) PT Raised to $54 at Piper Sandler
- Ulta stock slips as Jefferies cuts on increased competition
Create E-mail Alert Related Categories
Analyst EPS View, Analyst PT Change, DowngradesRelated Entities
Jefferies & CoSign 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!