Thursday, September 9, 2010

Pike Electric (NYSE:PIKE) Downgraded by Wedbush

Citing uninspiring execution, Pike Electric (NYSE:PIKE) was downgraded by Wedbush from "Neutral" to "Underperform." The price target was also dropped from $10 to $7.50.

"Downgrading Pike Electric on continued weakness and choppy overall execution...Continued Distribution and Storm revenue weakness leads us to believe Pike will lag in any kind of recovery...Debt covenants becoming an issue...Our new revenue and EPS estimates are substantially lower, reflecting $28m revenue added from the recent acquisition offset by continued market weakness," said the Wedbush analyst.

Pike closed at $7.46 Wednesday, dropping $0.18, or 2.36 percent a share. Trading volume was almost three times the 3-month average of 76,619.

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