What Are Analysts’ Recommendations for Pinnacle Foods?


Feb. 29 2016, Updated 7:23 a.m. ET

Target prices

Pinnacle Foods (PF) released its earnings for 4Q15 and full-year 2015. Wall Street analysts provide their target prices for the next 12 months after the earnings results. The results show that 53% of analysts rate Pinnacle Foods a “buy” and ~47% rate it a “hold.”

Article continues below advertisement

Consensus rating for Pinnacle Foods

The average broker target price for Pinnacle Foods is $48.36. This represents a 12% rise—compared to the closing price of $43.27 on February 26. The company’s peers Treehouse Foods (THS), Lancaster Colony (LANC), and J&J Snack Foods (JJSF) have average broker target prices of $96.4, $111.3, and $108, respectively. These figures imply returns of 12.8%, 9.9%, and -2.3%, respectively, in the next 12 months. The PowerShares DWA Consumer Staples Momentum Portfolio (PSL) invests 2.5% of its holdings in Pinnacle Foods, 2.9% of its holdings in J&J Snack Foods, and 2.5% of its holdings in Lancaster Colony.

Recommendations for Pinnacle Foods

RBC Capital Markets and Stephens gave Pinnacle Foods the highest target price of $52. This represents a 20% rise compared to the closing price on February 26. RBC Capital Markets and Stephens both rate the stock a “strong buy.” The second-highest target price for Pinnacle Foods for the next 12 months is $50. This is 15% higher than the current trading price assigned by BMO Capital Markets, Goldman Sachs, CL King & Associates, Credit Suisse, and Consumer Edge Research. All of them rate the stock a “strong buy” except for Goldman Sachs. It rates Pinnacle Foods a “hold.” Barclays also rates the stock a “strong buy” with expectations for it to rise by 13% in the next 12 months.

Morgan Stanley rates Pinnacle Foods a “hold.” It assigned Pinnacle Foods the lowest target price of $45. This is 4% higher than the closing price on February 26. Pinnacle Foods also received a “hold” rating from D.A. Davidson & Co, Stifel, Buckingham Research Group. However, Stifel didn’t provide target prices for the stock.

In the next part, we’ll discuss how much the company’s margins benefited for the quarter and why.


More From Market Realist

  • CONNECT with Market Realist
  • Link to Facebook
  • Link to Twitter
  • Link to Instagram
  • Link to Email Subscribe
Market Realist Logo
Do Not Sell My Personal Information

© Copyright 2021 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.