Somnigroup price target lowered to $70 from $76 at Piper Sandler

Piper Sandler lowered the firm’s price target on Somnigroup (SGI) to $70 from $76 and keeps an Overweight rating on the shares. The firm says the PSC Mattress Retailer survey for February showed sales at -9.2%/-9.0% year-over-year on a mean/median basis – a notable reversal from the sales improvement in January/December. February was not only the worst month since Jan 2024, it also saw the biggest month-over-month sales deceleration since March 2022, Piper adds. Despite the uncertain industry backdrop, Somnigroup remains one of the firm’s favorite names, as continued market share gains and acquisition accretion should drive notable EPS growth for several years.