SuperValu (NYSE:SVU) Execution Continues to be Weak Says UBS (NYSE:UBS)

Commenting on the condition of SuperValu (NYSE:SVU), UBS (NYSE:UBS) said they see them as the weakest company in their supermarket universe.

UBS said, "We view Supervalu as the weakest operator amid our supermarket universe due to its debt burden, weak sales & difficulty executing inconsistent turnaround strategies. While limited NT debt maturities and adequate CF should keep B/S concerns at bay for the moment, we are concerned that the company is showing little traction on sales improvements. Store disposals could help sentiment, but feel estimates need to be lowered to reflect the potential for continued weak execution."

UBS maintains a "Neutral" rating on SuperValu, which closed Thursday at $8.62, down $0.07, or 0.81 percent. They lowered their price target on them from $12.50 to $8.