Wedbush Downgrades Calavo Growers (CVGW) to Neutral

Wedbush downgraded Calavo Growers (NASDAQ: CVGW) from Outperform to Neutral with a price target of $39.00 (unchanged). The downgrade relates to valuation.

Analyst Kurt Frederick said, "Share price has reached our price target in anticipation of strong upcoming results from growth in avocado supply and fresh-cut fruit and vegetable business. Renaissance Food Group (RFG) sales increased >30% for three consecutive quarters on increased distribution to new and existing customers, while expanding segment gross margins to an all-time high of 9.8% in Q2, largely driven by fixed cost leverage. We anticipate growth to decelerate to low double-digits as the company begins to lap recent distribution gains."

For an analyst ratings summary and ratings history on Calavo Growers click here. For more ratings news on Calavo Growers click here.

Shares of Calavo Growers closed at $39.13 yesterday.

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