Zacks Downgrades Shutterfly to Neutral (SFLY)
Shutterfly (NASDAQ:SFLY) was downgraded by Zacks from an “outperform” rating to a “neutral” rating in a research note issued to investors on Friday, AnalystRatingsNetwork.com reports. They currently have a $51.00 price target on the stock. Zacks‘ price target would suggest a potential upside of 4.06% from the company’s current price.
Zacks‘ analyst wrote, “Despite decent fourth quarter 2013 results, we downgrade our recommendation on Shutterfly Inc. to Neutral from Outperform due to its cautious outlook for 2014. Though earnings beat the Zacks Consensus Estimate by 10%, they declined year over year. Revenues were up 16.8% year over year and managed to beat the consensus mark by 0.68%. The results reflect strong performance at both the Consumer and Enterprise segments. We are encouraged by the company’s opportunistic acquisitions and improved offerings in the growing mobile e-commerce segment. Management also expects personalized print products to continue to benefit the company, driven largely by aggressive promotions, affordable prices and simplicity of usage. However, the company expects to report a loss in 2014 due to the termination of the Costco partnership. Also, depreciation and equipment costs for expansion and acquisition of manufacturing facilities are expected to adversely impact profitability in 2014. “
Shutterfly (NASDAQ:SFLY) traded down 2.19% on Friday, hitting $47.935. The stock had a trading volume of 756,108 shares. Shutterfly has a one year low of $40.69 and a one year high of $59.93. The stock’s 50-day moving average is $46.44 and its 200-day moving average is $50.81. The company has a market cap of $1.831 billion and a P/E ratio of 204.21.
Shutterfly (NASDAQ:SFLY) last announced its earnings results on Wednesday, February 5th. The company reported $1.10 earnings per share for the quarter, beating the analysts’ consensus estimate of $1.07 by $0.03. The company had revenue of $410.80 million for the quarter, compared to the consensus estimate of $405.97 million. During the same quarter last year, the company posted $1.40 earnings per share. Shutterfly’s revenue was up 16.8% compared to the same quarter last year. Analysts expect that Shutterfly will post $-0.35 EPS for the current fiscal year.
In other Shutterfly news, Director Nancy Schoendorf bought 15,000 shares of the stock on the open market in a transaction that occurred on Wednesday, February 12th. The stock was purchased at an average price of $44.71 per share, with a total value of $670,650.00. Following the purchase, the director now directly owns 67,421 shares of the company’s stock, valued at approximately $3,014,393. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link.
A number of other firms have also recently commented on SFLY. Analysts at Cantor Fitzgerald cut their price target on shares of Shutterfly from $62.00 to $60.00 in a research note on Thursday, February 6th. Separately, analysts at Barclays downgraded shares of Shutterfly from an “overweight” rating to an “equal weight” rating in a research note on Monday, January 13th. They now have a $50.00 price target on the stock, down previously from $62.00. Finally, analysts at RBC Capital initiated coverage on shares of Shutterfly in a research note on Monday, January 13th. They set an “outperform” rating and a $64.00 price target on the stock. Three research analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. The company currently has an average rating of “Buy” and an average target price of $55.91.
Shutterfly, Inc is an Internet-based social expression and personal publishing service that enables consumers to share, print and preserve their memories its technology, manufacturing, Web-design and merchandising capabilities.
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