If investors needed more evidence that many business-to-consumer companies are struggling, they got it on Friday when shares of online bookstore Fatbrain.com (Nasdaq: FATB) fell more than 33 percent. Fatbrain.com stock tumbled 6-7/8 to 13-7/8 after the stock was downgraded three times.
Banc of America downgraded it to buy from strong buy; U.S. Bancorp Piper Jaffray downgraded it to buy from strong buy; and Needham & Co. downgraded it to hold from strong buy. Analysts are concerned that sales of Fatbrain’s eMatter digital publishing products are below expectations.
Shares of Fatbrain.com have been really hit hard in the last couple months. The stock is now trading near its all-time low and at less than one third of its high of 42-1/4.