Floor & Decor slides after Spruce Point opens short position

Floor & Decor Holdings

01/07/2024 14:38

** Shares of flooring supplies maker Floor & Decor Holdings
Inc  FND.N  slip ~1% at $98.42 after Spruce Point takes a short
position on co
    ** Says FND is struggling, and its challenges are
intensifying  in part due to "ballooning" capex from new store
openings
    ** We estimate a 40% to 60% downside risk or approximately
$39.75 - $59.65 per share - short seller
    ** Adds FND's growth strategy is facing structural rather
than cyclical challenges 
    ** Floor & Decor didn't immediately respond to a Reuters
request for comment
    ** As of last close, stock down ~10% YTD

 (Reporting by Roshan Abraham)
 ((Roshan.Abraham@thomsonreuters.com))