Joann Inc hits record low on Q3 miss, pause on quarterly dividend

Joann

13/12/2022 17:21

(Updates)
    ** Shares of arts and crafts retailer Joann Inc  JOAN.O 
fall as much as 10.5% to hit an all-time low of $3.93
        ** Stock last down ~9%, on pace for biggest one-day pct.
decline in nearly a month
  
    ** JOAN after hours on Monday missed Street estimates for Q3
results and paused its qtrly dividend to boost balance sheet
    ** Co also says targeting $200 mln in cost savings from
lower supply chain and product expenses over the next 18 months 
    ** Telsey Advisory Group trims PT on JOAN to $5 from $6;
says JOAN's consumer "remains under pressure and is likely to be
cautious about spending on arts & crafts until inflation
moderates or the economy improves"
    ** Wells Fargo says while JOAN is targeting $200 mln of
annual cost reductions, the brokerage remains sidelined due to
low demand visibility, discretionary headwinds, and higher
promotions
    ** JOAN is rated "hold" on avg. among seven brokerages on
Refinitiv, with a median PT of $5
    ** YTD, stock down ~62% 
 (Reporting by Deborah Sophia in Bengaluru)
 ((DeborahMary.Sophia@thomsonreuters.com))