Cabela’s Inc (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 report 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.”
Several other equities research analysts also recently commented on the stock. Stifel Nicolaus set a $59.00 target price on shares of Cabela’s and gave the company a “hold” rating in a research note on Saturday, July 1st. Vetr downgraded shares of Cabela’s from a “strong-buy” rating to a “buy” rating and set a $60.00 target price for the company. in a research note on Monday, April 17th. Northcoast Research downgraded shares of Cabela’s from a “buy” rating to a “neutral” rating in a research note on Wednesday, July 5th. DA Davidson reaffirmed a “neutral” rating and issued a $61.50 target price on shares of Cabela’s in a research note on Saturday, June 3rd. Finally, BidaskClub raised shares of Cabela’s from a “sell” rating to a “hold” rating in a research note on Wednesday, June 28th. Two investment analysts have rated the stock with a sell rating, seven have issued a hold rating and two have assigned a buy rating to the company. The stock presently has an average rating of “Hold” and an average price target of $63.93.
Cabela’s (NYSE CAB) traded down 1.56% on Friday, reaching $52.34. 1,568,184 shares of the company’s stock traded hands. 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 PE ratio of 25.19 and a beta of 0.14. The firm’s 50 day moving average price is $58.38 and its 200 day moving average price is $53.85.
Cabela’s (NYSE:CAB) last posted its quarterly earnings results on Thursday, August 3rd. The company reported $0.53 earnings per share for the quarter, missing the Zacks’ consensus estimate of $0.57 by $0.04. The business had revenue of $890.40 million for the quarter, compared to the consensus estimate of $906.06 million. Cabela’s had a return on equity of 8.60% and a net margin of 3.29%. The company’s quarterly revenue was down 4.2% on a year-over-year basis. During the same period last year, the firm earned $0.59 earnings per share. On average, analysts predict that Cabela’s will post $2.70 EPS for the current fiscal year.
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Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. FMR LLC bought a new position in Cabela’s during the fourth quarter valued at $3,291,000. AQR Capital Management LLC bought a new position in Cabela’s during the fourth quarter valued at $573,000. Norges Bank bought a new position in Cabela’s during the fourth quarter valued at $20,509,000. Louisiana State Employees Retirement System boosted its position in Cabela’s by 2.4% in the first quarter. Louisiana State Employees Retirement System now owns 13,000 shares of the company’s stock valued at $690,000 after buying an additional 300 shares during the period. Finally, Havens Advisors LLC boosted its position in Cabela’s by 54.0% in the first quarter. Havens Advisors LLC now owns 39,888 shares of the company’s stock valued at $2,118,000 after buying an additional 13,988 shares during the period. Institutional investors own 58.24% of the company’s stock.
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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