Pinnacle Foods Price Target Increased to $29.00 by Analysts at Stifel Nicolaus (PF)
Equities research analysts at Stifel Nicolaus lifted their price objective on shares of Pinnacle Foods (NYSE:PF) from $27.00 to $29.00 in a research note issued to investors on Thursday, Analyst Ratings News reports. The firm currently has a “buy” rating on the stock. Stifel Nicolaus’ price target points to a potential upside of 14.72% from the company’s current price.
The analysts wrote, “We reiterate our Buy rating for Pinnacle Foods. We are introducing new earnings estimates to reflect the recently closed acquisition of Wish-Bone salad dressings (closed October 1). The addition of Wish Bone lifted our EPS estimates for 2013, 2014, and 2015 to $1.57 (+$0.02), $1.80 (+$0.11), and $1.96 (+$0.17), respectively. On an annual basis, the acquisition should add upwards of $200 million in sales, and we expect operating profit to build from an initial run-rate of $45 million in EBITDA to over $60 million in EBITDA by mid-2015 as the company transitions from the TSA agreement with Unilever and brings the production of Wishbone in-house. Achieving these synergies will require additional capital investment over the next 18 months, but we still estimate roughly $200 million in free cash flow (after dividends) in 2014 and growing to over $250 million in 2015.”
Shares of Pinnacle Foods (NYSE:PF) traded up 3.12% on Thursday, hitting $26.07. 147,198 shares of the company’s stock traded hands. Pinnacle Foods has a one year low of $22.15 and a one year high of $28.52. The stock’s 50-day moving average is $26.82 and its 200-day moving average is $25.26. The company has a market cap of $3.054 billion and a P/E ratio of 51.07.
Pinnacle Foods (NYSE:PF) last released its earnings data on Wednesday, August 14th. The company reported $0.29 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.27 by $0.02. The company had revenue of $569.00 million for the quarter, compared to the consensus estimate of $576.64 million. The company’s revenue for the quarter was down 3.3% on a year-over-year basis. Analysts expect that Pinnacle Foods will post $1.55 EPS for the current fiscal year.
The company also recently declared a quarterly dividend, which is scheduled for Thursday, October 10th. Investors of record on Monday, September 23rd will be given a dividend of $0.18 per share. This represents a $0.72 dividend on an annualized basis and a yield of 2.85%. The ex-dividend date of this dividend is Thursday, September 19th.
In other Pinnacle Foods news, CFO Craig Steeneck unloaded 10,000 shares of the company’s stock in a transaction dated Friday, October 4th. The shares were sold at an average price of $25.81, for a total value of $258,100.00. Following the sale, the chief financial officer now directly owns 407,697 shares of the company’s stock, valued at approximately $10,522,660. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.
Several other analysts have also recently commented on the stock. Analysts at Zacks upgraded shares of Pinnacle Foods from a “neutral” rating to an “outperform” rating in a research note to investors on Monday, August 19th. They now have a $28.50 price target on the stock. Separately, analysts at Morgan Stanley reiterated an “equal weight” rating on shares of Pinnacle Foods in a research note to investors on Thursday, August 15th. They now have a $27.00 price target on the stock, up previously from $25.00. Finally, analysts at BMO Capital Markets raised their price target on shares of Pinnacle Foods from $28.00 to $30.00 in a research note to investors on Thursday, August 15th. They now have an “outperform” rating on the stock. Three investment analysts have rated the stock with a hold rating and eight have assigned a buy rating to the stock. The company currently has a consensus rating of “Buy” and an average price target of $28.08.
Pinnacle Foods Inc is a manufacturer, marketer and distributor of branded food products in North America.
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