World Kinect downgraded to Hold from Buy at Stifel

Stifel analyst Benjamin Nolan downgraded World Kinect (WKC) to Hold from Buy with a price target of $32, down from $33.The company’s fundamentals are improving on the margin side, interest rates are coming down, and communication “has never been better,” the analyst tells investors in a research note. However, the firm says shares have moved off a “valuation bottom,” creating a risk/reward that is “simply not as compelling.” There may be some more room for multiple expansion, particularly if World Kinect continues to execute, but there is also more risk at these levels, says Stifel.