RadioShack Stock Rating Lowered by Goldman Sachs (RSH)

Goldman Sachs lowered shares of RadioShack (NYSE: RSH) from a neutral rating to a sell rating in a research report released on Tuesday morning. Goldman Sachs currently has $2.75 price target on the stock, down from their previous price target of $2.90.

“RSH operates with a challenged business model, given its reliance on wireless, a slowing category where it is losing market power, the perpetual challenge of price transparency, and limited opportunity for cost cuts after sharp reductions in recent years. Our estimates stand below consensus. The firm operates with lofty leverage, and we see minimal equity value, with a price target below the market price after the stock’s recent recovery (21% downside). We see few of the strategic dynamics (M&A, founder interest) that have helped drive a rally among other challenged franchises of late.,” Goldman Sachs’ analyst commented.

RadioShack traded up 0.33% on Tuesday, hitting $3.351. RadioShack has a 1-year low of $1.90 and a 1-year high of $6.81. The stock’s 50-day moving average is currently $3.14. The company’s market cap is $333.8 million.

Other equities research analysts have also recently issued reports about the stock. Analysts at Deutsche Bank reiterated a hold rating on shares of RadioShack in a research note to investors on Wednesday, February 27th. They now have a $2.50 price target on the stock. Separately, analysts at RBC Capital raised their price target on shares of RadioShack from $2.50 to $3.00 in a research note to investors on Wednesday, February 27th. They now have a sector perform rating on the stock. Finally, analysts at Raymond James upgraded shares of RadioShack from an underperform rating to a market perform rating in a research note to investors on Wednesday, February 27th.

Two analysts have rated the stock with a buy rating, fourteen have assigned a hold rating, and six have issued a sell rating to the company’s stock. The stock currently has an average rating of hold and a consensus target price of $2.37.

RadioShack Corporation (RadioShack) is engaged in the retail sale of consumer electronics goods and services through its RadioShack store chain.

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