Zacks Investment Research cut shares of Companhia Brasileira de Distribuicao (NYSE:CBD) from a hold rating to a sell rating in a report released on Tuesday morning.

According to Zacks, “Companhia Brasileira has lagged the industry in the past three months. The company's home appliances category remains prone to tough macroeconomic conditions in Brazil, like high unemployment and soft consumer spending. Also, stiff competition remains a theat to this consumer-driven company. However, continued market share gains at its Assai and Multivarejo segments bodes well. These gains, along with continued volume and traffic strength at Assai, improved volumes of Pao de Acucar and consistent recovery at Extra Hiper helped the company post solid third-quarter 2017 results. Despite food deflation, sales grew 8.1%, with Assai witnessing its strongest quarter of combined volume and traffic growth. The company is also gaining from its store expansions, renovations and conversions of Extra Hipe outlets.  Also, constant investments in profitable areas keeps management confident of achieving further market share gains.”

A number of other brokerages also recently issued reports on CBD. Credit Suisse Group raised shares of Companhia Brasileira de Distribuicao from a neutral rating to an outperform rating in a research report on Tuesday, November 7th. UBS raised shares of Companhia Brasileira de Distribuicao from a market perform rating to an outperform rating in a research report on Tuesday, November 21st. One investment analyst has rated the stock with a sell rating, three have assigned a buy rating and one has issued a strong buy rating to the company. The stock has an average rating of Buy and an average target price of $28.00.

Companhia Brasileira de Distribuicao (NYSE:CBD) opened at $21.67 on Tuesday. The company has a debt-to-equity ratio of 0.26, a current ratio of 1.18 and a quick ratio of 0.98. Companhia Brasileira de Distribuicao has a 12-month low of $15.17 and a 12-month high of $25.90. The stock has a market cap of $5,854.16, a P/E ratio of 23.90, a PEG ratio of 1.27 and a beta of 1.84.

The company also recently disclosed a special dividend, which will be paid on Friday, December 22nd. Stockholders of record on Monday, December 11th will be given a $0.0968 dividend. The ex-dividend date is Friday, December 8th. This is an increase from Companhia Brasileira de Distribuicao’s previous special dividend of $0.06. Companhia Brasileira de Distribuicao’s payout ratio is presently 106.45%.

Large investors have recently added to or reduced their stakes in the business. Wells Fargo & Company MN grew its position in Companhia Brasileira de Distribuicao by 1,184.5% during the 3rd quarter. Wells Fargo & Company MN now owns 4,817 shares of the company’s stock worth $114,000 after purchasing an additional 4,442 shares during the last quarter. FNY Partners Fund LP grew its position in Companhia Brasileira de Distribuicao by 8,900.0% during the 2nd quarter. FNY Partners Fund LP now owns 9,000 shares of the company’s stock worth $175,000 after purchasing an additional 8,900 shares during the last quarter. JPMorgan Chase & Co. purchased a new stake in Companhia Brasileira de Distribuicao during the 2nd quarter worth approximately $204,000. Comerica Bank purchased a new stake in Companhia Brasileira de Distribuicao during the 3rd quarter worth approximately $209,000. Finally, First Allied Advisory Services Inc. grew its position in Companhia Brasileira de Distribuicao by 0.5% during the 2nd quarter. First Allied Advisory Services Inc. now owns 11,305 shares of the company’s stock worth $218,000 after purchasing an additional 58 shares during the last quarter. 3.33% of the stock is currently owned by institutional investors.

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About Companhia Brasileira de Distribuicao

Companhia Brasileira de Distribuicao, directly or through its subsidiaries, is engaged in the retail of food, clothing, home appliances, electronics and other items through its chain of hypermarkets, supermarkets, specialized stores and department stores principally under the trade names Pao de Acucar, Minuto Pao de Acucar, Extra Hiper, Extra Super, Minimercado Extra, Assai an the neighborhood shopping mall brand Conviva.

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