Kefir-maker Lifeway Foods drops after Noble Capital downgrade

Lifeway Foods

25/09/2023 15:27

** Shares of kefir-maker Lifeway Foods  LWAY.O  down 16.6%
at $10.36 in early trade
    ** Noble Capital Markets downgrades stock to "market
perform" from "outperform" 
    ** Says prices of milk, which is used to make the fermented
drink kefir, are up 31% since the end of June and expected to be
a headwind to Q3 results
    ** Adds consumers potentially trading down in a recessionary
environment also influences its conservative approach to
valuation
    ** Says potential insider selling at the company could
further put pressure on the stock
    ** Believes co's shares, which are up ~124% YTD as of last
close, are likely to enter a consolidation phase

 (Reporting by Juveria Tabassum in Bengaluru)
 ((Juveria.Tabassum@thomsonreuters.com;))