09:40 AM EDT, 06/05/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lower our 12-month target by $10 to $45, based on a FY 26 (Apr.) P/E of 20.9x, a justified discount to its 10-year average forward P/E of 32.8x. We lower our FY 25 EPS view by $0.15 to $1.95 and introduce FY 26's at $2.15. BF.B posted Apr-Q adjusted EPS of $0.27 vs. $0.43 (-37%), well short of the $0.42 consensus. Reported EPS of $0.56 included a $177M pre-tax gain related to the sale of its Sonoma-Cutrer wine business. Net sales and gross margins both came in materially weaker than expected. BF.B's net sales fell 8% to $964M ($66M below consensus) and gross margin contracted 180 bps to 59.0% (270 bps below consensus). BF.B introduced its FY 25 guidance, saying it expects organic net sales and operating income growth of 2%-4%, which it said would be driven by gains in international markets and normalizing inventory trends. We keep a Hold rating on lack of catalysts and concerns that sluggish sales growth trends are likely to linger for some time as the sale of whiskey and other products continues to cool.