Morgan Stanley downgrades Rent the Runway, cites 'volatile' business growth

Rent the Runway is a "show-me story" for now, according to Morgan Stanley. Analyst Lauren Schenk downgraded shares to equal weight from overweight, and slashed her price target, citing data that points to a more challenging path ahead for the online retailer. "Recent data suggests a meaningful October slowdown and a 3Q sub miss after an encouraging September," Schenk wrote in a Friday note.

"We don't have a definitive explanation as to why October has slowed, though it is consistent with the rest of eCommerce/retail commentary around consumer spending pullback," Schenk wrote. "What is clear, though, is the business is more volatile and seasonal than we had expected with two straight quarters of significant monthly swings," she added. Shares of Rent the Runway have come under pressure since its initial public offering in October 2021 .

Portugal Últimas Notícias, Portugal Manchetes

Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.

Taylor Morrison (TMHC), Christopher Todd Communities end build-to-rent partnership - Phoenix Business JournalTaylor Morrison, one of the nation's largest homebuilders, and Christopher Todd Communities didn't renew their three-year licensing agreement to develop build-to-rent communities nationwide. As a result, Taylor Morrison is rebranding its BTR properties.
Fonte: phxbizjournal - 🏆 254. / 63 Consulte Mais informação »