2 Stocks Hitting Record Lows Today
Both names announced strategic reviews
Stocks are trading lower today on renewed U.S.-China trade tensions. Among individual names making notable moves are food delivery firm Waitr Holdings Inc (NASDAQ:WTRH) and Xerox spinoff Conduent Inc (NYSE:CNDT). Here's a quick look at what's moving the shares of WTRH and CNDT.
Piper Jaffray Downgrades Waitr Stock
After being halted several times throughout the session, Waitr stock was most recently seen trading down 54.4% at $1.71, earlier tagging a record low $1.31. The shares are headed for their worst day ever on news founder and CEO Chris Meaux is retiring, with Adam Price, the company's former chief operating officer, taking over the top spot. Additionally, the firm is exploring options -- including a potential sale -- after a big second-quarter miss, and lowered its full-year sales forecast.
A round of bear notes is only exacerbating headwinds on the stock, with Piper Jaffray downgrading WTRH to "neutral" from "overweight," and joining at least three other brokerages in cutting their price targets on the equity. More negative analyst notes could be on the way, considering all five brokerages called Waitr a "buy" prior to today, and the average 12-month price target sits all the way up at $14.33.
Conduent Suspends CEO Search
Conduent shares tagged an all-time low of $5.27 earlier, and were last seen 28.4% lower at $6.20. The selling was sparked by news the company is suspending its CEO search until the conclusion of a strategic and operational review. The firm also unveiled a $1.07 billion write-down, and said it expects full-year revenue to decline more than previously expected.
Price-target cuts have come through from Citigroup (to $9) and Cowen and Company (to $8), but analysts were already bearish on a stock that was down 18.5% heading into today's trading. Four of five brokerages in coverage call CNDT stock a "hold," but with the consensus 12-month target price perched at $13.50, more downward revisions could come down the pike.