Lifecore Biomedical (NASDAQ:LFCR) Stock Rating Lowered by William Blair

Lifecore Biomedical (NASDAQ:LFCR) was downgraded by stock analysts at William Blair from an “outperform” rating to a “hold” rating in a report released on Monday, Marketbeat reports.

A number of other research firms have also recently commented on LFCR. Zacks Research raised shares of Lifecore Biomedical from a “strong sell” rating to a “hold” rating in a research note on Wednesday, July 29th. Wall Street Zen raised shares of Lifecore Biomedical from a “sell” rating to a “hold” rating in a research note on Saturday, June 6th. Barrington Research boosted their target price on shares of Lifecore Biomedical from $6.00 to $6.50 and gave the stock an “outperform” rating in a research note on Tuesday, June 16th. Finally, Weiss Ratings raised shares of Lifecore Biomedical from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Wednesday, September 9th. One research analyst has rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $6.50.

Lifecore Biomedical Trading Up 55.2%

Shares of LFCR opened at $6.52 on Monday. Lifecore Biomedical has a 12 month low of $3.63 and a 12 month high of $8.98. The stock’s 50 day moving average is $4.50 and its two-hundred day moving average is $4.77. The firm has a market cap of $246.78 million, a P/E ratio of -6.09 and a beta of 1.08.

Lifecore Biomedical (NASDAQ:LFCR) last issued its quarterly earnings data on Wednesday, August 5th. The company reported ($0.19) EPS for the quarter, meeting the consensus estimate of ($0.19). The business had revenue of $34.17 million during the quarter, compared to analyst estimates of $34.18 million. Equities research analysts forecast that Lifecore Biomedical will post -1.02 EPS for the current year.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. SG Americas Securities LLC purchased a new position in Lifecore Biomedical in the 1st quarter worth approximately $64,000. Wittenberg Investment Management Inc. lifted its stake in Lifecore Biomedical by 26.1% in the 4th quarter. Wittenberg Investment Management Inc. now owns 21,723 shares of the company’s stock worth $178,000 after purchasing an additional 4,500 shares in the last quarter. Deutsche Bank AG purchased a new position in Lifecore Biomedical in the 2nd quarter worth approximately $137,000. Bank of America Corp DE purchased a new position in Lifecore Biomedical in the 2nd quarter worth approximately $195,000. Finally, Bank of New York Mellon Corp purchased a new position in Lifecore Biomedical in the 2nd quarter worth approximately $353,000. 83.36% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Lifecore Biomedical

Here are the key news stories impacting Lifecore Biomedical this week:

• Positive Sentiment: Webster Equity Partners will acquire Lifecore for $6.28 per common share in cash, representing a 49.5% premium to the unaffected share price. The transaction values the company at up to approximately $663.7 million and is the primary catalyst behind the stock’s move higher. Lifecore Biomedical to Be Acquired by Webster Equity Partners
• Positive Sentiment: In addition to the cash consideration, common and Series A preferred stockholders will receive contingent value rights tied to performance milestones. These payments could provide up to $160 million in aggregate, or as much as approximately $9.67 per common equivalent share if all milestones are achieved. Lifecore Biomedical to Be Acquired by Webster Equity Partners for Up to $663 Million
• Neutral Sentiment: Trading was temporarily halted for pending news when the acquisition announcement was released, reflecting the material nature of the transaction. The stock is now likely to trade near the $6.28 cash offer, with the remaining upside dependent on the CVRs and deal completion.
• Negative Sentiment: William Blair downgraded Lifecore to Market Perform, indicating limited near-term upside following the buyout announcement. Separate investor-rights law firms are investigating whether the offer fairly values Lifecore and whether the board adequately protected shareholders, creating potential deal uncertainty despite the premium. Lifecore Biomedical Closes Higher on Acquisition News

About Lifecore Biomedical

Lifecore Biomedical, Inc is a contract development and manufacturing organization (CDMO) that provides services to pharmaceutical, biotechnology and medical device companies. The company specializes in complex sterile injectable products and supports customers through product development, process development, manufacturing, aseptic filling, packaging and related regulatory services.

Lifecore’s capabilities include the production of injectable products using fermentation and other specialized manufacturing processes.