Portillo’s price target lowered to $13 from $18 at UBS

UBS analyst Dennis Geiger lowered the firm’s price target on Portillo’s to $13 from $18 and keeps a Neutral rating on the shares. Portillo’s Q1 results and commentary highlighted pressured traffic and same-store sales, mostly unchanged guidance for 2024 and support for long-term restaurant development targets, the analyst tells investors in a research note. While Portillo’s long-term development story remains compelling, UBS believes improving traffic trends, reduced macro pressure and better visibility into the margin trajectory represent necessary catalysts from here.