Landec -7.5% on downside guidance for quarter, year

|About: Landec Corporation (LNDC)|By:, SA News Editor

Landec (LNDC -7.5%) is lower after issuing downside guidance for FQ2 (Nov.), seeing EPS of ~$0.13 vs. $0.21 analyst consensus due to severe shortages of produce resulting in much higher than projected costs for raw materials in its value-added vegetable business.

Issues mixed guidance for FY 2014 (May), seeing EPS higher by 0%-5% Y/Y to $0.70-$0.74 vs. $0.84 consensus and revenues up 6% Y/Y to $468M vs. $472M consensus.

Feltl & Co. cuts its share price target to $13.50 from $16; the firm is confident in LNDC's long-term outlook but the easiest comparisons start to hit in FQ4, meaning the stock could languish for a quarter (