07:35 AM EDT, 05/09/2025 (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 $3 to $55, based on a 2026 P/E of 8.7x and a justified discount to the stock's five-year average forward P/E of 11.9x. We lower our adjusted EPS estimates to $6.00 from $6.45 for 2025 and to $6.30 from $6.40 for 2026. TAP posted Q1 adjusted EPS of $0.50 vs. $0.95 (-47%), well short of the $0.80 consensus. The miss was driven by a weaker-than-expected top line, as net sales fell 11.3% to $2.30B ($90M below consensus) on a 14.3% drop in financial volume and 0.9% negative currency impact, partially offset by a 3.9% improvement in price/sales mix. Gross margin contracted 20 bps to 36.9% (20 bps above consensus). TAP lowered its full-year 2025 guidance and now expects underlying EPS to increase by the low single digits, a significant shift from the high-single-digit increase previously forecasted. We maintain our Hold rating on valuation and as near-term comps appear difficult after TAP posted a solid 10% EPS increase in 2024.