William Blair analyst Phillip Blee has maintained their neutral stance on COOK stock, giving a Hold rating today.
Phillip Blee has given his Hold rating due to a combination of factors affecting Traeger’s outlook. Despite the company exceeding fourth-quarter expectations in terms of sales and earnings, the guidance for fiscal 2025 was softer than anticipated. This is attributed to ongoing demand challenges, difficult comparisons with previous promotions, and an uncertain macroeconomic environment.
Additionally, the potential impact of tariffs poses a significant risk, as it could affect both revenue and adjusted EBITDA. With a substantial portion of Traeger’s supply chain exposed to China, any tariff enactment could lead to shifts in distribution strategies and impact financial performance. Investors remain cautious due to the lack of clear signs of recovery in consumer demand and uncertainties surrounding trade policies, prompting a Hold rating until more positive indicators emerge.
In another report released today, Telsey Advisory also downgraded the stock to a Hold with a $2.50 price target.
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