BUZZ-Lucky Strike Entertainment falls after J.P.Morgan downgrade

Updates

Shares of bowling chain operator Lucky Strike Entertainment LUCK.N down as much as 8.2% at a more than eight-month low of $9.72 in early trading

J.P. Morgan downgrades stock to "neutral" from "overweight", cuts PT by $3 to $12

Says it expects Q2 sales to be affected by softer event revenue, reduced retail walk-ins and an unfavorable calendar shift as New Year moves into next quarter, aside from impacts from price increases

Says profits are hurt by recurring expenses from recent acquisitions of Raging Waves water park and Boomers Parks chain of family entertainment centers

Co, which was previously listed as Bowlero, rebranded itself as Lucky Strike Entertainment in December, and is set to announce Q2 results on Feb. 3

9 of 11 brokerages rate the stock "buy" or higher, and two "hold"; with a median PT of $17- LSEG data

LUCK fell 29.3% in 2024

(Reporting by Neil J Kanatt in Bengaluru)

((Neil.JKanatt@thomsonreuters.com;))