We maintain our Underperform rating on shares of Corporate Executive Board (EXBD). While Q2 EPS beat expectations, we have again lowered our full-year estimates.
The company continues to experience deterioration in its cross-sell ratio, and other key operating metrics, including contract value. Given the current operating pressures, along with ongoing concerns regarding a slowing economy, we believe the shares should trade at a discount to the peer group average.
As such, we anticipate that the company’s shares will underperform the market in the near-term.Zacks Investment Research
