Grocery Outlet initiated with a Neutral at Credit Suisse

Credit Suisse analyst Karen Short initiated coverage of Grocery Outlet with a Neutral rating and $30 price target. Grocery Outlet’s story "offers a healthy balance of reasons to be positive longer term, but cautious in the near term," Short tells investors in a research note. The analyst says the company should exhibit "significant resiliency" in a weak macro backdrop but that rising interest rates negatively impact its long-term discounted free cash flow valuation significantly.