Charles River downgraded to Neutral at Guggenheim on valuation

As previously reported, Guggenheim downgraded Charles River to Neutral from Buy with no price target, “largely on valuation” after the stock rose 11% post the company’s Q4 earnings report. While the firm thinks an improving macro outlook is getting more visible and the 2024 guidance is “reasonable,” it finds it hard to justify a price target up 20% from here “without stretching our model,” noting that it raised its own FY25 EPS estimate by about 5% following the Q4 report.