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Wednesday, February 20, 2019

Tivity Health price target lowered to $29 from $46 at Jefferies

Jefferies analyst David Styblo lowered his price target for Tivity Health (TVTY) to $29 citing the company’s “disappointing” 2019 Nutrisystem (NTRI) revenue guidance. This is a “bumpy start” to Tivity’s pending acquisition of Nutrisystem expected to close March 8 and lowers out-year accretion estimates, Styblo tells investors in a post-earnings research note. That said, the company still has “significant” free cash flow it will be using to pay down debt, adds the analyst. He’s also encouraged by the new Walmart (WMT) agreement that should boost the Prime business. Styblo keeps a Buy rating on Tivity Health and views the stock as “cheap” amid today’s selloff.
https://thefly.com/landingPageNews.php?id=2866927

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