Wedbush Morgan Cuts Helen of Troy
Wedbush Morgan cut its investment recommendation on Helen of Troy Limited (HELE ) to hold from buy, citing lower-than-expected fundamental business momentum that the company primarily attributed to tough economic conditions.
Analyst Rommel Dionisio said the company posted 30 cents second quarter earnings per share on $130.4 million sales, which are below his 52 cents and $143.2 million estimates, and the consensus 53 cents and $142 million estimates. He said the company also cut fiscal year 2006 (ending February) guidance to $1.80 to $1.90 earnings per share on $575 million to $590 million sales from $2.50 to $2.60 earnings per share and $615 million to $640 million sales, respectively. The analyst placed his estimates under review and plans to publish a more detailed note on the company after its conference call set for 11 am EDT Tuesday.