Telsey Maintains Allbirds Inc (BIRD) at Market Perform, Lowers PT to $1.50

(Updated - May 1, 2023 7:11 AM EDT)

Telsey analyst Dana Telsey maintains Allbirds Inc (NASDAQ: BIRD) at Market Perform with a price target of $1.50 (from $2.25).

The analyst comments "2023 is a year of transition at Allbirds and the company faces a number of challenges including: 1) continued pressure on discretionary demand and competitors being more aggressive with promotions; 2) underperformance by the brand as new products have not resonated with the core customer base; 3) the need to liquidate inventory that will lead to significant gross margin erosion; and, 4) a transformation of the business in areas such as product innovation, store operations, and international go-to-market that will take several quarters to yield positive results. Google Trends data suggests consumer interest for the Allbirds brand continued to decline in April. As such, we expect the tone to be muted with the focus on the strategic efforts that could put the company on the path back to growth in 2024. This call will also be an introduction to new CFO Annie Mitchell, who joined the company on April 24 from Gymshark (and previously with adidas) following the departure of former CFO Mike Bufano."

For an analyst ratings summary and ratings history on Allbirds Inc click here. For more ratings news on Allbirds Inc click here.

Shares of Allbirds Inc closed at $1.25 yesterday.

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