Duckhorn Portfolio price target lowered by $3.50 at Citi, here’s why

Citi analyst Alexandra Davis lowered the firm’s price target on Duckhorn Portfolio to $12.50 from $16 and keeps a Buy rating on the shares. The company’s fiscal Q1 miss was driven by weaker than expected net sales growth and higher than expected interest expense, which was partially offset by a stronger than expected gross margin, the analyst tells investors in a research note. The firm, however, was encouraged by Duckhorn’s optimism that growth will accelerate in the second half of the year and commentary that it was not seeing any trade-down in the industry.