Financial Wire

Research Alert: CFRA Maintains Sell Rating On Shares Of Fast

-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

We reiterate our Sell rating on FAST shares following Q1 results, and also maintain our 12-month target of $35, valuing shares at 26x our 2027 EPS estimate of $1.34 (up $0.02; 2026 EPS view adjusted to $1.24 from $1.23). FAST's Q1 EPS print of $0.30 was in line with the consensus view, though shares still traded lower as an elevated multiple gave little room for results that were less than robust, in our view. Price/cost was a point of concern during the quarter as management indicated pushback from customers on price hikes following a year of pricing actions. This fatigue could set back progress on operating margins as FAST has a lessened capacity to offset cost inflation. We continue to see shares as trading at levels that are above intrinsic value, even when factoring in today's negative share performance. FAST's shift to larger customers appears to be paying off thus far in regard to a turnaround in operating margins, though input costs will still have to be successfully managed.

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