Barclays has revised its price target for Performance Food Group (PFGC, Financial), lowering it from $105 to $95, though the bank maintains an Overweight rating on the company's shares. This adjustment comes amid a preview of first-quarter performance across the restaurant sector.
Early in the first quarter, the company faced challenges due to adverse weather conditions affecting comparable sales. While there was some recovery observed by March, the rebound wasn't complete, indicating a broader slowdown in consumer spending.
Despite most restaurants being shielded from tariff-related supply chain disruptions, the potential impact on demand remains a concern. Barclays suggests that the downturn in consumer expenditure is a significant factor influencing the revised price target.
