Aaron’s downgraded to Hold from Buy at Loop Capital

Loop Capital analyst Anthony Chukumba downgraded Aaron’s to Hold from Buy with an unchanged price target of $15. The stock has substantially outperformed the broader market indices year-to-date and is now trading above the price target, the analyst tells investors in a research note. The firm says the downgrade is primarily based on valuation. However, it also has some fundamental concerns given the “dramatic pandemic-driven demand pull forwards” in furniture, appliances, and consumer electronics, as well as the ongoing BrandsMart integration.