Petco price target raised to $3 from $2.50 at Baird

Baird analyst Peter Benedict raised the firm’s price target on Petco to $3 from $2.50 and keeps a Neutral rating on the shares after the company reported Q1 results that “cleared a low bar.” The firm likes the company’s focus on fewer and clearer strategic priorities, and calls guidance for positive free cash flow this year “a welcome development,” but adds that efforts to reposition the business for profitable long-term growth “remain in the early stages.”