Safeway Rating Reiterated by Deutsche Bank (SWY)
Safeway (NYSE:SWY)‘s stock had its “buy” rating reiterated by research analysts at Deutsche Bank in a report released on Tuesday, AmericanBankingNews.com reports. They currently have a $40.00 price target on the stock. Deutsche Bank’s price target suggests a potential upside of 26.70% from the company’s current price.
The analysts wrote, “SWY took another major step along its path towards asset rationalization with the announcement that they were exiting the underperforming Dominicks banner in Chicago. We believe the latest move underscores the many ways to win with SWY, including (1) further asset rationalization, (2) potential tax-free spin-off of Blackhawk, (3) monetization of owned RE, (4) profitability improvement of the core operating business, and (5) short covering.”
Shares of Safeway (NYSE:SWY) traded up 6.92% on Tuesday, hitting $33.7538. The stock had a trading volume of 11,056,968 shares. Safeway has a one year low of $15.38 and a one year high of $32.72. The stock has a 50-day moving average of $29.1 and a 200-day moving average of $25.86. The company has a market cap of $8.057 billion and a price-to-earnings ratio of 14.36. Safeway also was the target of some unusual options trading activity on Thursday. Traders bought 8,908 put options on the stock. This is an increase of 305% compared to the average daily volume of 2,198 put options.
Safeway (NYSE:SWY) last announced its earnings results on Thursday, October 10th. The company reported $0.10 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.18 by $0.08. The company had revenue of $8.62 billion for the quarter, compared to the consensus estimate of $8.53 billion. During the same quarter in the previous year, the company posted $0.16 earnings per share. The company’s revenue for the quarter was up 1.1% on a year-over-year basis. On average, analysts predict that Safeway will post $1.09 earnings per share for the current fiscal year.
A number of other firms have also recently commented on SWY. Analysts at Citigroup Inc. raised their price target on shares of Safeway from $27.00 to $31.00 in a research note to investors on Tuesday. They now have a “neutral” rating on the stock. Separately, analysts at Jefferies Group initiated coverage on shares of Safeway in a research note to investors on Monday. They set a “hold” rating and a $32.00 price target on the stock. Finally, analysts at Barclays Capital upgraded shares of Safeway from an “underweight” rating to an “equal weight” rating in a research note to investors on Monday, September 23rd. They now have a $30.00 price target on the stock, up previously from $20.00. Two research analysts have rated the stock with a sell rating, six have given a hold rating and nine have issued a buy rating to the company. Safeway presently has an average rating of “Hold” and an average price target of $32.08.
Safeway Inc (NYSE:SWY) is a food and drug retailer in North America.
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