Lifecore price target lowered to $10 from $12 at Barrington

Barrington analyst Michael Petusky lowered the firm’s price target on Lifecore to $10 from $12 and keeps an Outperform rating on the shares after the company raised $38.75M via a convertible preferred stock offering and announced a Q2 earnings delay. The capital raise became urgent and necessary due to Lifecore’s inability to execute against its year-end goal of divesting the remaining Curation Foods assets, Petusky tells investors in a research note. He believes the capital infusion should buy the company at least 12-18 months of runway in which to maximize the valuation of both businesses.