UPDATE: UBS Investment Research Reduces PT to $9.50 on hhgregg Following Lower Guidance

UBS Investment Research reiterated its Neutral rating on hhgregg (NYSE: HGG) and reduced its price target from $10.75 to $9.50.

UBS Investment Research noted, "Last night, HGG lowered its guidance for 1Q'13 and FY'13 due to lower than expected revenue from the Video segment. Video experienced a -16.7% comp, and a -37.3% 2-year stacked comp, the biggest decline in six years. The weakness indicates that management's goal of stabilizing this segment is proving to be harder than expected, despite the spring rollout of new television lines and broader vendor implementation of Minimum Advertised Price policy. However, Appliances comped 6.3% due in part to HGG's efforts to gain share in this category."

hhgregg closed at $9.10 on Tuesday.