America's Car Mart (CRMT) Says Company-Specific Issues and Increased Competition Impacted 2Q Results; Jefferies Cuts Price Target to $29

Jefferies maintained a Hold rating on America's Car-Mart (NASDAQ: CRMT), and cut the price target to $29.00 (from $38.00), following the company's 2Q earnings report. CRMT reported 2Q16 EPS of $0.29 versus consensus of $0.71. Total revenues of $133M shrank 0.6% YoY. On the call management noted that the results this quarter were impacted by both company-specific issues as well as increased competition.

Analyst John Hecht commented, "CRMT reported F2Q16 EPS of $0.29, excluding the impact of its allowance build, missing both consensus and JEF estimates. We observe the quarter missed our estimates on both the revenue and expense side and have modestly lowered our estimate as a result. We believe CRMT continues to navigate some operational transitions in the near-term and we remain on the sidelines as a result. Reiterate Hold."

For an analyst ratings summary and ratings history on America's Car-Mart click here. For more ratings news on America's Car-Mart click here.

Shares of America's Car-Mart closed at $32.55 yesterday.

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