(Bloomberg) -- Concerns over Nongfu Spring Co.’s sales outlook have prompted a number of brokers to downgrade its stock and slash price targets following a tumble to fresh lows.
At least five brokerages, including Goldman Sachs Group Inc. and Jefferies Hong Kong Ltd. lowered their targets for China’s most recognizable bottled water brand over the past week. Daiwa Capital Markets Hong Kong Ltd. also downgraded the stock to hold from outperform.
Nongfu Spring Stock Drops on Water ‘Price War’: Street Wrap
The selloff comes as the company is facing a price war in the bottled water space, compounded by worries over product quality and consumer spending. The stock has plunged nearly 36% since a May high.
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