Needham & Company Downgrades Zipcar (ZIP) to Hold; Initiatives Should Improve Retention, But Not 'Til...
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Price: $12.25 --0%
Rating Summary:
0 Buy, 8 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 13
Rating Summary:
0 Buy, 8 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 13
Trade ZIP Now!
Needham & Company downgraded Zipcar (NASDAQ: ZIP) from Buy to Hold.
Analyst, Kerry Rice, said, "We are downgrading Zipcar as a result of slowing fundamentals. The challenging macro environment and marketing missteps slowed membership growth, resulting in lower 2H12 guidance. Zipcar is launching new membership programs and marketing initiatives to improve retention and attract new members, but we believe the persistent macro issues and seasonally slower 2H may limit gaining back lost ground in the near-term...New membership programs and marketing initiatives should improve retention and attract new members, but we believe a material impact may take several quarters."
FY12 EPS estimate cut from $0.14 to (0.00) and FY13 from $0.33 to $0.13.
For an analyst ratings summary and ratings history on Zipcar click here. For more ratings news on Zipcar click here.
Shares of Zipcar closed at $10.63 yesterday, with a 52 week range of $8.87-$25.88.
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Analyst, Kerry Rice, said, "We are downgrading Zipcar as a result of slowing fundamentals. The challenging macro environment and marketing missteps slowed membership growth, resulting in lower 2H12 guidance. Zipcar is launching new membership programs and marketing initiatives to improve retention and attract new members, but we believe the persistent macro issues and seasonally slower 2H may limit gaining back lost ground in the near-term...New membership programs and marketing initiatives should improve retention and attract new members, but we believe a material impact may take several quarters."
FY12 EPS estimate cut from $0.14 to (0.00) and FY13 from $0.33 to $0.13.
For an analyst ratings summary and ratings history on Zipcar click here. For more ratings news on Zipcar click here.
Shares of Zipcar closed at $10.63 yesterday, with a 52 week range of $8.87-$25.88.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
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