Solo Brands downgraded to Hold from Buy at Craig-Hallum

Craig-Hallum downgraded Solo Brands to Hold from Buy with a price target of $5, down from $8, given lack of visibility and uncertainty, which should keep shares under pressure in the near-term. The firm notes the company lowered its revenue and margin guidance and transitioned CEO from John Merris to Chris Metz. While the weaker direct-to-consumer sales in the holiday season are disappointing, Craig-Hallum is more concerned at the reason why. The firm thought the Snoop Dogg campaign was a huge success; so “if that can’t drive sales, what can,” it asks.