hhgregg’s Underperform Rating Reiterated at Zacks (HGG)
hhgregg (NYSE:HGG)‘s stock had its “underperform” rating restated by Zacks in a note issued to investors on Thursday. They currently have a $6.75 target price on the stock. Zacks‘s price objective would suggest a potential downside of 5.73% from the company’s current price.
Zacks’ analyst wrote, “hhgregg reported weak results in the first quarter of fiscal 2015. Adjusted loss of $0.36 per share was wider than the prior year loss of $0.04 and the Zacks Consensus Estimate of a loss of $0.16. The loss was primarily due to double-digit drop in comps, higher advertising expenses and higher SG&A costs. hhgregg’s net sales declined 10% and also lagged the Zacks Consensus Estimate due to weak comps. Comps decreased in double-digits due to weakness in all product categories. Moreover, hhgregg did not provide a guidance for fiscal 2015 as the company is experiencing continued volatility in the consumer electronics industry. It is however working on its strategic initiatives to drive additional traffic. Also, gross margin improved in the quarter owing to a favorable product sales mix shift to product categories, carrying higher gross profit margin rates. But we still do have confidence in its operations until we see substantial improvement in all its categories.”
Other equities research analysts have also recently issued reports about the stock. Analysts at JPMorgan Chase & Co. reiterated a “neutral” rating on shares of hhgregg in a research note on Tuesday, August 5th. They now have a $7.00 price target on the stock, down previously from $8.00. Separately, analysts at Piper Jaffray cut their price target on shares of hhgregg from $9.00 to $7.50 in a research note on Friday, August 1st. Finally, analysts at B. Riley reiterated a “neutral” rating on shares of hhgregg in a research note on Friday, August 1st. They now have a $7.00 price target on the stock, down previously from $11.00. One equities research analyst has rated the stock with a sell rating, four have given a hold rating and one has given a buy rating to the company. hhgregg has an average rating of “Hold” and an average target price of $8.75.
Shares of hhgregg (NYSE:HGG) traded down 2.59% on Thursday, hitting $7.16. The stock had a trading volume of 104,114 shares. hhgregg has a 52-week low of $6.76 and a 52-week high of $20.75. The stock has a 50-day moving average of $7.87 and a 200-day moving average of $8.98. The company’s market cap is $203.3 million.
hhgregg (NYSE:HGG) last issued its quarterly earnings data on Thursday, July 31st. The company reported ($0.36) EPS for the quarter, missing the Thomson Reuters consensus estimate of ($0.16) by $0.20. The company had revenue of $472.30 million for the quarter, compared to the consensus estimate of $490.50 million. During the same quarter in the prior year, the company posted ($0.04) earnings per share. The company’s quarterly revenue was down 10.0% on a year-over-year basis. On average, analysts predict that hhgregg will post $-0.25 earnings per share for the current fiscal year.
hhgregg, Inc (NYSE:HGG) is a specialty retailer of home appliances, televisions, computers, consumer electronics, mattresses and related services operating under the name hhgregg.
To view Zacks’ full report, visit Zacks’ official website.
Get Analysts' Upgrades and Downgrades via Email - Stay on top of analysts' coverage with Analyst Ratings Network's FREE daily email newsletter that provides a concise list of analysts' upgrades and downgrades. Click here to register now.