Spectrum Brands downgraded to Hold from Buy at Canaccord

Canaccord downgraded Spectrum Brands to Hold from Buy with a price target of $86, up from $83. The Q1 results, where organic sales fell 4.6%, yet EBITDA increased 33%, are “an aberration” and the company will need to demonstrate meaningful and consistent top line growth for the multiple to expand much further, the analyst tells investors in a research note. The firm says the market is already pricing in a recovery with the stock up over 25% since the Q4 results.