Wedbush Cuts Price Target on Nexxus Lighting (NEXS), Sales At Lowe's (LOW) is Now Main Focus
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Price: $0.01 --0%
Rating Summary:
0 Buy, 1 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
0 Buy, 1 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Wedbush is maintaining its Outperform rating on shares of Nexxus Lighting (NASDAQ: NEXS), but is cutting its price target from $7 to $5.
The company reported Q2 results with $4.1 million in revenue and an EPS loss of $0.05, below the firms estimates of $4.9 million and ($0.02). Gross margins totaled 24.7 percent, well under the firms and Street's estimates of 27 percent and 26.3 percent.
Array LED Bulb are growing rapidly with its implementation into Lowe's (NYSE: LOW) stores. Sales totaled $3.2 million for the quarter, below the firms estimate of $4 million, but as Lowe’s continues to implement certain signage and display features, and continues to train retail and commercial sales associates, the firm believes that sales will continue to grow steadily.
Due to the Q2 miss and current business trends, Wedbush is trimming its FY11 revenue and EPS estimates from $18.7 million and ($0.07) to $14 million and ($0.20), and its FY12 EPS estimate from $0.30 to $0.25. The firm is reaffirming its FY12 revenue estimate of $43 million.
Management commented that they are anticipating to achieve cash breakeven at a
$6 million quarterly revenue run rate, and EBIT breakeven at a $7 million run rate.
For more ratings news on Nexxus Lighting click here and for the rating history of Nexxus Lighting click here.
Shares of Nexxus Lighting closed at $2.40 yesterday.
The company reported Q2 results with $4.1 million in revenue and an EPS loss of $0.05, below the firms estimates of $4.9 million and ($0.02). Gross margins totaled 24.7 percent, well under the firms and Street's estimates of 27 percent and 26.3 percent.
Array LED Bulb are growing rapidly with its implementation into Lowe's (NYSE: LOW) stores. Sales totaled $3.2 million for the quarter, below the firms estimate of $4 million, but as Lowe’s continues to implement certain signage and display features, and continues to train retail and commercial sales associates, the firm believes that sales will continue to grow steadily.
Due to the Q2 miss and current business trends, Wedbush is trimming its FY11 revenue and EPS estimates from $18.7 million and ($0.07) to $14 million and ($0.20), and its FY12 EPS estimate from $0.30 to $0.25. The firm is reaffirming its FY12 revenue estimate of $43 million.
Management commented that they are anticipating to achieve cash breakeven at a
$6 million quarterly revenue run rate, and EBIT breakeven at a $7 million run rate.
For more ratings news on Nexxus Lighting click here and for the rating history of Nexxus Lighting click here.
Shares of Nexxus Lighting closed at $2.40 yesterday.
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