Traeger Inc. (COOK) PT Lowered to $38 at Piper Sandler
Piper Sandler analyst Peter Keith lowered the price target on Traeger Inc. (NYSE: COOK) to $38.00 (from $50.00) while maintaining a Neutral rating.
The analyst commented: "Relatively Inline Q1; Tariff Refunds Provide EBITDA Upside; We maintain our Neutral rating and adjust our PT to $38 (7.5x 2027E EV/EBITDA) following Q1 earnings and the 1-for-50 stock split. Q1 revenue was -34% y/y, with partial headwinds from a tough compare. While adj. EBITDA came in better than expected, this was due to the recognition of a $12.4M IEEPA tariff refund benefit in the quarter. Full-year adj. EBITDA guidance was raised by $7M at the mid-point, with $5M in negative offsets from ongoing competitive pressure from Meater and Macro pressure (oil costs and consumer). Entry into <$1,000 price-points should help demand trends (launched Westwood, $699 price point grills in April). We continue to view Traeger as a strong brand amidst a weak industry backdrop and tariff noise that has resulted in headwinds for the company. For our PT, we raise our multiple assumption from 7x to 7.5x to reflect better sell-through trends."