Monday, August 20, 2012

Rosetta Stone: Baird Downgrades To Neutral On CFO Departure

Baird analyst Amy Junker this morning downgraded shares of Rosetta Stone (RST) to Neutral from Outperform, cutting her target on the provider of language instruction software to $26, from $30. Junker’s downgrade reflects concerns over the announcement late yesterday that CFO Brian Helman is stepping down.

“While we continue to view the company’s long-term growth prospects favorably, we are hard-pressed to recommend putting new money to work as we believe the timing of this development adds risk to the story given its pending next-generation product launch in Q3 and significant investments the company is making internationally,” she writes.

RST this morning is down $1.19, or 4.9%, to $22.97.

No comments:

Post a Comment