Cabela’s Inc (NYSE:CAB) Stock Rating Lowered by Zacks Investment Research
Cabela’s Inc (NYSE:CAB) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued on Friday.
According to Zacks, “Cabela's which has accepted the buyout offer of Bass Pro Shops in an all-cash deal valued at $5 billion came under pressure after it reported lower-than-expected second-quarter results. Moreover, both top and bottom lines declined year over year, with the top line marking its fourth consecutive miss. The top line was largely hampered by lower store traffic, dismal comparable store sales and sharp decline in merchandise sales. While merchandise sales were a major let down, the company was impressed with its Cabela’s CLUB Visa program performance. Soft economic recovery, deceleration in the sale of sporting goods and stiff competition from both brick-and-mortar and e-commerce has made things tough for Cabela’s. Meanwhile, the buyout will result in a giant entity that will control over 20% of the U.S. hunting, camping and fishing market. The deal will help the combined entity to generate significant revenue and cost savings.”
A number of other research firms have also recently commented on CAB. BidaskClub cut shares of Cabela’s from a “sell” rating to a “strong sell” rating in a research note on Monday, July 31st. Vetr cut shares of Cabela’s from a “strong-buy” rating to a “buy” rating and set a $60.00 price target for the company. in a research note on Monday, April 17th. Stifel Nicolaus set a $59.00 price objective on shares of Cabela’s and gave the company a “hold” rating in a research report on Saturday, July 1st. Northcoast Research cut shares of Cabela’s from a “buy” rating to a “neutral” rating in a research report on Wednesday, July 5th. Finally, DA Davidson reissued a “neutral” rating and issued a $61.50 price objective on shares of Cabela’s in a research report on Saturday, June 3rd. Two analysts have rated the stock with a sell rating, seven have assigned a hold rating and two have given a buy rating to the company. Cabela’s currently has a consensus rating of “Hold” and an average price target of $63.93.
Cabela’s (NYSE CAB) traded down 1.56% during mid-day trading on Friday, hitting $52.34. 1,568,184 shares of the stock were exchanged. The company’s 50-day moving average price is $58.38 and its 200 day moving average price is $53.85. Cabela’s has a 52 week low of $45.00 and a 52 week high of $63.60. The firm has a market capitalization of $3.61 billion, a price-to-earnings ratio of 25.19 and a beta of 0.14.
Cabela’s (NYSE:CAB) last released its quarterly earnings results on Thursday, August 3rd. The company reported $0.53 EPS for the quarter, missing analysts’ consensus estimates of $0.57 by $0.04. Cabela’s had a return on equity of 8.60% and a net margin of 3.29%. The firm had revenue of $890.40 million for the quarter, compared to analysts’ expectations of $906.06 million. During the same period in the prior year, the firm posted $0.59 earnings per share. Cabela’s’s revenue for the quarter was down 4.2% on a year-over-year basis. Equities research analysts expect that Cabela’s will post $2.70 EPS for the current year.
Large investors have recently added to or reduced their stakes in the stock. Teacher Retirement System of Texas bought a new stake in Cabela’s during the second quarter valued at about $229,000. Tiedemann Wealth Management LLC boosted its stake in shares of Cabela’s by 4.8% in the first quarter. Tiedemann Wealth Management LLC now owns 4,375 shares of the company’s stock valued at $232,000 after buying an additional 200 shares during the last quarter. Karp Capital Management Corp acquired a new stake in shares of Cabela’s during the first quarter valued at $234,000. Infrastructure Capital Advisors LLC acquired a new stake in shares of Cabela’s during the first quarter valued at $238,000. Finally, LS Investment Advisors LLC boosted its stake in shares of Cabela’s by 21.5% in the second quarter. LS Investment Advisors LLC now owns 4,197 shares of the company’s stock valued at $249,000 after buying an additional 742 shares during the last quarter. 58.24% of the stock is owned by institutional investors.
Cabela’s Incorporated is an omni-channel retailer of hunting, fishing, camping, shooting sports and related outdoor merchandise. The Company offers its customers a selection of national and regional brand products, including its Cabela’s brand. The Company’s segments include Merchandising and Financial Services.
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