Cowen cuts PT on Tattooed Chef, sees surging expenses

Tattooed Chef

10/05/2022 12:35

** Cowen lowers PT on plant-based food co Tattooed Chef Inc
 TTCF.O  to $13 from $18, implying an upside of ~73.1% on the
stock's last close  
    ** Brokerage says there are significant expenses and capital
expenditure weighing co down this year 
    ** Sees co posting FY22 adjusted EBITDA loss of $54 mln,
wider than its prior estimate of $45 mln  
    ** "Higher operating expenses, capital expenditures, and
elevated receivables will garner attention for an unprofitable,
nascent growth story" - Cowen 
    ** Adds, co in Q1 saw pressure from higher material,
freight, labor, and cold storage costs
    ** Says the topline and gross margin beat were more than
offset by higher-than-forecast operating expenses
    ** As of last close, shares had shed more than half their
market value this year 

 (Reporting by Manya Saini in Bengaluru)
 ((Manya.Saini@thomsonreuters.com;))