Jefferies Downgrades Presitge Brands (PBH) to Underperform

Jefferies downgraded Presitge Brands (NYSE: PBH) from Hold to Underperform with a price target of $30.00 (from $28.00).

Analyst Kevin Grundy comments, "With the shares at an all-time high, we are downgrading PBH to Underperform from Hold and see c. 20% downside over the next 12 months. The market's expectation of low-single-digit % org sales/FCF growth is too high for PBH's declining biz, mkt share losses in > 80% of the portfolio may require greater investment, and "M&A optionality" is a tolerable risk for us given the co.'s 6x debt leverage. Our FY16 sales/EBITDA est. are 4%/7% below the Street."

For an analyst ratings summary and ratings history on Presitge Brands click here. For more ratings news on Presitge Brands click here.

Shares of Presitge Brands closed at $37.32 yesterday.

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