Needham & Company analyst Sean McGowan lowered his price target on Big 5 Sporting Goods (NASDAQ: BGFV) to $20.00 (from $23.00) but maintained a Strong Buy rating following Q1 results.

McGowan comments, "1Q results were better than expected but still showed significant YoY declines due to difficult firearm and ammunition comparisons and unfavorable weather across the Western US. Big 5's firearm sales fell 45% YOY and winter-related revenues fell 25%; SSS were up low single digits excluding these two categories. Management noted that 2Q results were off to a slower start than anticipated but added that the shift in the Easter holiday made direct comparisons difficult. On the whole, the company's tone was less optimistic than on past calls, with concern over higher gas prices in BGFV's markets dampening consumer spending."

The firm reduced 2014 EPS estimate by $0.25, and 2015 and 2016 EPS estimates by $0.10 in each year, anticipating that the margin recovery anticipate will take longer to be fully realized.

For an analyst ratings summary and ratings history on Big 5 Sporting Goods click here. For more ratings news on Big 5 Sporting Goods click here.

Shares of Big 5 Sporting Goods closed at $15.24 yesterday.