SunTrust Robinson Humphrey Downgrades Cabela's (CAB) to Neutral

SunTrust Robinson Humphrey downgraded Cabela's (NYSE: CAB) from Buy to Neutral with a price target of $45.00 on valuation and visibility.

Analyst David Magee commented, "We are taking advantage of the recent bounce in the CAB stock price to move our rating to Neutral. In addition, given our concerns about the warm East Coast winter thus far, we think it's prudent to cut our estimates as well. We believe the firm’s merchandising issues are fixable but may take several quarters. However, it may be more challenging to deal with issues around constricting shopping drive times. Lastly, while we note that management has hired an advisor to study strategic alternatives, our analysis would suggest a lot of the potential upside is already in the stock."

For an analyst ratings summary and ratings history on Cabela's click here. For more ratings news on Cabela's click here.

Shares of Cabela's closed at $47.92 yesterday.

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