Solo Brands downgraded to Hold at Jefferies after CEO exit, guidance cut

As previously reported, Jefferies analyst Randal Konik downgraded Solo Brands to Hold from Buy with a price target of $4, down from $12. While the firm continues to view Solo as having “a strong portfolio of lifestyle brands,” it believes it is necessary to reassess valuation following the departure of “yet another key C-suite member” in CEO John Merris as well as a significant downward revision to FY23 guidance. The firm calls it “prudent to move to the sidelines” until the company’s go-forward strategy is better understood.