ACI: In a Tough Spot, but a Lot to Consider with the Stock – There Is Risk Being Too Negative

研报英文原文证据摘录

ACI: In a Tough Spot, but a Lot to Consider with the Stock – There Is Risk Being Too Negative

Equity Research

Price Target Change — June 29, 2026

Food & Staples Retail

Albertsons Companies, Inc.

In a Tough Spot, but a Lot to Consider with the Stock – There Overweight

Is Risk Being Too Negative Price Target: $18.00

Notable Changes

Our Call $ (Feb) Current Prior % Chg

ACI has been pressured by fundamental concerns in a tough backdrop. There are issues, Price Target $18.00 $21.00 -14.3%

but possible KR lawsuit windfall, FCF/repo, and asset value matter at 4x EBITDA. Rd 2 of

strategic alternatives possible. Risk/reward more dynamic than appreciated. Ticker ACI

Upside/(Downside) to Target 32.5%

There Are Issues, but a Lot of Fear Now Priced In: Food retail is in a tough spot. Industry Price (06/26/2026) $13.59

demand is soft (no pop. growth, GLP1), value players are consuming more than all the 52 Week Range $13.31 - 22.78

growth, competition is intensifying w/ more to come (tariff refunds), and traditional Market Cap (MM) $6,927

players may be on the verge of capitulating on price (KR the start). ACI is worse off than

Enterprise Value (MM) $15,732

most given its weak price position and poor momentum, but a sub-4x EBITDA multiple

should inspire investors to consider all angles. Average Daily Value (MM) $97

Dividend Yield 4.4%

KR Lawsuit Could Provide Cash Infusion: ACI filed a lawsuit against KR seeking "billions"

$ (Feb) Q1 Q2 Q3 Q4 FYof dollars in damages related to breach of contract when that proposed merger broke

down. The case is scheduled in court mid-October and ACI has been optimistic about EPS

its position. Simply settling for the $600M break-up fee would matter to ACI given its 2026E 0.46 E 0.47 E 0.79 E 0.56 E 2.27 E