Williams-Sonoma downgraded to Hold on valuation at Loop Capital

Loop Capital analyst Anthony Chukumba downgraded Williams-Sonoma to Hold from Buy with a price target of $220, up from $200. The downgrade is based on the stock’s current valuation as opposed to a more bearish view of the company’s fundamentals, the analyst tells investors in a research note. The firm continues to believe Williams-Sonoma bears are underestimating the company’s ability to maintain current profitability levels and has a bullish long-term fundamental view. However, this is priced into the stock at current levels, contends Loop. As such, the firm awaits a more attractive entry point to become more constructive on the shares.