Albertsons not moving fast enough to lower prices and lure shoppers from Walmart, Aldi — BMO
Complete. Here is the key summaryBMO downgraded Albertsons (ACI) to Market Perform, cutting its target price to $12 and lowering EPS estimates. Analyst Kelly Bania cited that Albertsons is not reducing costs or prices fast enough to compete with Walmart, Aldi, and Amazon, risking future profitability. The firm noted weak industry trends and consumer migration to discounters, suggesting limited M&A options post-Kroger merger failure and potential asset sales.
Albertsons Companies’ (ACI) shares are limping to the end of the week nearly 27% lower from a week ago after the grocery chain missed profit guidance and slashed its full-year outlook to reflect a more cautious consumer environment and soft industry trends. "While [fiscal first quarter] results did not meet our expectations, they underscored the ne...