TD Cowen downgrades Allbirds, sees high odds of capital raise or low-value sale

As previously reported, TD Cowen downgraded Allbirds to Market Perform from Outperform with a price target of $1.50, down from $4. The firm, which says it has been "a bit shocked by how poorly this company is run," thinks the business needs significantly more than $15M to $20M in SG&A cuts and sees a "high probability" of a dilutive capital raise or a sale at a "low valuation." The firm struggles to find a path to cash flow positive scenarios in FY23, FY24 or FY25, it added.