CRCT - Sonos falls as Morgan Stanley downgrades citing 'more cautious' consumer spending

Sonos (NASDAQ:SONO) shares fell on Wednesday after investment firm Morgan Stanley downgraded the consumer electronics company, noting that consumers are "turning more cautious" about spending. Analyst Erik Woodring lowered his rating to equal-weight from overweight and cut his price target to $28 from $38, noting that all consumers, even high-end consumers are more cautious, as inflation is at a 40-year high, the stock market has fallen more than 20% year-to-date and consumer confidence is at a 10-year low.  "Indeed, our latest AlphaWise Consumer Pulse Survey shows that the majority of respondents - regardless of income bracket - expect to reduce spending in the next six months due to inflationary pressures, despite healthy consumer balance sheets, excess savings at the high-end, and growing home prices," Woodring wrote in a note to clients. "In our view, this is no longer a risk that investors can ignore."  Sonos (SONO) shares fell slightly more than

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Sonos falls as Morgan Stanley downgrades citing 'more cautious' consumer spending