Analyst recommendations for Pilgrim’s Pride
As of July 28, 2016, Pilgrim’s Pride (PPC) was trading at $23.74. In this part of the series, we’ll see what Wall Street analysts recommend for the company after its 2Q16 earnings release. We’ll also look at analysts’ target prices for PPC over the next 12 months.
There have been no changes in the target price for PPC. However, analyst recommendations changed after the company’s 2Q16 results. About 33% of analysts rate PPC a “buy,” and 67% rate it a “hold.” None of the analysts rate it a “sell.”
Analyst target prices
The average broker target price for PPC remained the same at $26.50 after the 2Q16 earnings release. This is 12% higher than the closing price of $23.74 on July 28, 2016.
Below are the target prices and return potential for Pilgrim’s Pride’s peer:
- Hormel Foods (HRL): target price of $39.75 and a return potential of 8%
- Sanderson Farms (SAFM): target price of $88.71 and a return potential of 4%
- Tyson Foods (TSN): target price of $78.70 and a return potential of 7%.
These stocks are all part of the First Trust Consumer Staples AlphaDEX ETF (FXG), which invests a total of 10.5% in these stocks. The PowerShares DWA Consumer Staples Momentum ETF (PSL) invests 4.4% of its holdings in Tyson Foods.
Recommendations for Pilgrim’s Pride
Stephens has given PPC the highest target price of $30. It’s 12% higher than the closing price on July 28, 2016. It rates the stock a “strong buy.” Morningstar upgraded the stock to a “strong buy” with no particular target price after the results. Jefferies has given PPC a “hold” rating and the lowest target price of $23. That’s less than PPC’s closing price on July 28, 2016.