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Fly News Breaks for November 1, 2018
TPX
Nov 1, 2018 | 11:16 EDT
Loop Capital analyst Laura Champine maintains a Sell rating Tempur Sealy with a $36 price target after the company's Q3 results missed expectations on the top- and bottom-lines. The analyst is concerned that Tempur's price increases in 2019 to recapture higher commodity costs "may only encourage continued consumer trade-down in the company's range." It may be tough to convince consumers to trade up to higher-priced offerings in the Sealy line in particular given the aggressive financing offers customers rely on in the mattress industry and the influx of competing mattresses from Asia at compelling price points, Champine tells investors in a post-earnings research note.
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