J.P. Morgan Comments on Competitive Pressures Faced by WD-40 Company

J.P. Morgan has published a report on WD-40 CompanyWDFC outlining CEO comments on innovation and expansion. WD-40 relayed lower than expected Earnings per Share than a year ago, with $0.47 versus $0.53. In the report, J.P. Morgan notes competitive pressure on WD-40 as well as higher material costs. J.P. Morgan comments, "WD-40's consolidated sales increased 3.6% versus our expectation of 5.4% sales growth. The company reported a gross margin of 49.3%, representing a decline of (190) basis points year-over-year, and the consolidated gross margin contracted (250) basis points on a sequential basis." J.P. Morgan rated WD-40 NEUTRAL with a price target of $42.00. WD-40 closed yesterday at $45.44.