Big Lots price target lowered to $15 from $25 at Piper Sandler

Piper Sandler analyst Peter Keith lowered the firm’s price target on Big Lots to $15 from $25 and keeps a Neutral rating on the shares. While the Q3 results were relatively inline, the Q4 comp outlook was far worse than expected, Keith tells investors in a research note. Looking to 2023, the analyst says that while Big Lots’ margins should rebound on lower freight and markdown expense, he’s concerned about the comp trajectory given projections for weaker consumer spending.