Buffalo Wild Wings (NASDAQ:BWLD) stock was down today following a downgrade during talk of a takeover.
Analysts at UBS have downgraded BWLD stock from a “Buy” rating to a “Neutral” rating. The firm also has a price target of $148 for Buffalo Wild Wings stock. The company’s stock was trading at $145.85 when the markets closed on Friday.
UBS downgraded BWLD stock on Monday due to concerns of the lack of visibility regarding the recent takeover talk with Roark Capital. Roark Capital is reportedly looking to acquire Buffalo Wild Wings, reports Seeking Alpha.
News of a deal with Roark Capital has been spreading for a couple of weeks now. The company was originally looking to acquire Buffalo Wild Wings for $150 per share. However, a new report claims that it is now offering $155 per share for BWLD stock.
Buffalo Wild Wings and Roark Capital are remaining quiet about the deal. However, some reports claim that it is likely the wings chain will accept the takeover offer. The current offer represents a roughly 6% premium to BWLD’s closing price on Nov. 24. The previous offer was a 28% premium from its Nov 10 closing price.
Deutsche Bank was another firm that downgraded BWLD stock following news of its takeover talks with Roark Capital. Stephens also weighed in the stock recently to reiterate its “Equal-Weight” rating. However, it did increase its price target for the stock to $155 from $115, Benzinga notes.
BWLD stock was down 1% as of Monday morning and is down 7% year-to-date.
As of this writing, William White did not hold a position in any of the aforementioned securities.