Energizer Holdings (ENR) - Get Report  shares were weaker after J.P. Morgan downgraded the St. Louis battery maker to underweight from neutral and cut its December 2019 price target 20% to $36 from $45.

Analyst Andrea Teixeira in New York said in a report that she saw a "tough" revenue outlook for Energizer, impeding its ability to meet its earnings guidance.

Energizer shares were trading down almost 6% at $39.35.

The battery category is "relatively stable" and "should see sustainable growth longer term," Teixeira wrote. But based on Nielsen data, the Rayovac brand has been losing some shelf space, which she said could hold back results until at least the fiscal 2020 third quarter.

The analyst also noted that Energizer must integrate the battery and auto-care businesses it bought in January from Spectrum Brands (SPB) - Get Report .

That deal "will build scale [and] diversify sales mix, channels and geographies," Teixeira wrote.

At the same time, she said, "most of the earnings gains are back-end-loaded into years two and three of this massive integration," and visibility on the shelf space for the combined businesses is "limited."

For fiscal 2019, the analyst sees Energizer earning an adjusted $2.80 a share against her previous estimate of $2.95. The new estimate compares with the company's guidance of $2.90 to $3 and with the Wall Street consensus of $2.96.

For fiscal 2020, Teixeira now estimates earnings of $2.97 a share instead of $3.31. That new estimate is below ENR's guidance of $3.25 to $3.45 and the Wall Street consensus of $3.38.

Energizer holds battery brands including Energizer, Eveready and Rayovac, as well as car-care products like ArmorAll and STP.