Citigroup Reiterates Buy Rating On WINN

Citigroup is reiterating its Buy rating on Winn-Dixie Stores, Inc. (NASDAQ: WINN).

“Delhaize reported 4Q10 U.S. sales results last Friday of (-0.8)%, which improved sequentially from 3Q10 of (-1.8)%,” Citigroup writes. “We believe the sequential improvement in IDS for Delhaize is a positive for WINN, and expect to see similar if not better sequential improvement in WINN's F2Q11 IDS. WINN has 22% overlap with Delhaize's Food Lion and Sweetbay banners in the SE (within 5 miles).”

Winn-Dixie Stores closed Friday at $6.25.