Bears Circle LaCroix’s Owner as Wall Street Sees an Uphill Battle
- Results hurt by tariffs and higher manufacturing costs
- Jefferies analyst reduces his price target to a Street low
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National Beverage Corp., the owner of LaCroix seltzer, spooked Wall Street a bit further after higher costs led to disappointing fourth-quarter results.
Analysts from Jefferies, UBS, and Maxim trimmed their estimates for fiscal 2020 amid concerns that the company’s turnaround efforts will likely be costly as the company spends to stabilize the LaCroix brand amid stiff competition. Results missed expectations partly because of a rise in aluminum prices, hurt by President Trump’s trade war, and higher manufacturing costs.