Companhia Brasileira de Distribuicao Stock Rating Reaffirmed by Zacks (CBD)
Companhia Brasileira de Distribuicao (NYSE:CBD)‘s stock had its “neutral” rating reiterated by Zacks in a research report issued to clients and investors on Friday. They currently have a $50.00 price target on the stock. Zacks‘s target price would indicate a potential upside of 6.00% from the stock’s previous close.
Zacks’ analyst wrote, “Companhia Brasileira de Distribuicao started 2014 on a strong note recording double-digit increase in earnings and sales, despite tough macroeconomic conditions. CBD profits increased 22.9% (in local currency) year over year driven by solid sales growth, improved comps and lower selling, general and administrative expenses. Consolidated gross sales increased 10.8% year over year driven by accelerated organic expansion. Comps growth of 6.3% was driven by growth in all the segments – GPA Food, Viavarejo and Nova Pontocom. Overall, we are encouraged by the company’s efforts to enhance its e-commerce business through new websites and online shopping malls. However, currency translation headwinds and tough economic conditions remain a threat. We expect slow recovery in the macroeconomic conditions in the country and consumer sentiment is likely to recover at a mild pace. We therefore remain Neutral on the stock.”
Shares of Companhia Brasileira de Distribuicao (NYSE:CBD) traded down 0.57% during mid-day trading on Friday, hitting $46.90. The stock had a trading volume of 304,250 shares. Companhia Brasileira de Distribuicao has a 52-week low of $37.83 and a 52-week high of $51.99. The stock’s 50-day moving average is $46.80 and its 200-day moving average is $43.86. The company has a market cap of $12.414 billion and a price-to-earnings ratio of 26.34.
Companhia Brasileira De Distribuicao (NYSE:CBD) is a Brazil-based food retailer.
To view Zacks’ full report, visit Zacks’ official website.
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