Pinnacle Foods (PF) Cut to “Hold” at Zacks Investment Research
Pinnacle Foods (NYSE:PF) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research report issued on Tuesday.
According to Zacks, “Pinnacle Foods, which is set to be acquired by Conagra Brands by the end of 2018, surpassed the industry in the past six months, steadily gaining from sturdy in-market performance. The company has been gaining from its robust brand portfolio and focus on strategic acquisitions. The sturdy in-market trend in second-quarter 2018 was driven by strong retail consumption, mainly attributable to revenue growth in Frozen and Boulder segments. Adjusted earnings for the quarter came in line with the Zacks Consensus Estimate, while sales lagged the estimate and declined year over year. Sales were mainly marred by unfavorable Easter timing, while soft performance in the company’s grocery and specialty segments was also a drag. Apart from this, the company is also battling freight cost inflation, which is expected to persist through 2018. Nonetheless, management remains confident of delivering bottom-line growth.”
Other analysts also recently issued research reports about the company. Stifel Nicolaus downgraded Pinnacle Foods from a “buy” rating to a “hold” rating and lifted their price objective for the stock from $63.00 to $68.00 in a research note on Monday, July 2nd. Piper Jaffray Companies downgraded Pinnacle Foods from an “overweight” rating to a “neutral” rating and reduced their price objective for the stock from $69.00 to $68.00 in a research note on Monday. UBS Group downgraded Pinnacle Foods from a “buy” rating to a “neutral” rating in a research note on Thursday, June 28th. BMO Capital Markets downgraded Pinnacle Foods from an “outperform” rating to a “market perform” rating in a research note on Thursday, June 28th. Finally, Buckingham Research lifted their price objective on Pinnacle Foods from $62.00 to $68.00 and gave the stock a “neutral” rating in a research note on Friday, July 20th. Twelve investment analysts have rated the stock with a hold rating and four have given a buy rating to the stock. Pinnacle Foods presently has an average rating of “Hold” and a consensus price target of $67.60.
Pinnacle Foods (NYSE:PF) last released its quarterly earnings data on Thursday, August 2nd. The company reported $0.59 earnings per share (EPS) for the quarter, hitting the Zacks’ consensus estimate of $0.59. Pinnacle Foods had a return on equity of 13.96% and a net margin of 19.14%. The business had revenue of $741.80 million for the quarter, compared to the consensus estimate of $749.29 million. During the same quarter in the previous year, the company posted $0.53 EPS. The company’s revenue was down .4% compared to the same quarter last year. analysts forecast that Pinnacle Foods will post 2.9 EPS for the current fiscal year.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Wells Fargo & Company MN grew its position in Pinnacle Foods by 17.6% in the 1st quarter. Wells Fargo & Company MN now owns 138,607 shares of the company’s stock valued at $7,499,000 after acquiring an additional 20,788 shares during the last quarter. Northern Trust Corp grew its position in Pinnacle Foods by 1.0% in the 1st quarter. Northern Trust Corp now owns 807,258 shares of the company’s stock valued at $43,672,000 after acquiring an additional 8,040 shares during the last quarter. New York State Common Retirement Fund grew its position in Pinnacle Foods by 1.0% in the 1st quarter. New York State Common Retirement Fund now owns 304,178 shares of the company’s stock valued at $16,456,000 after acquiring an additional 2,936 shares during the last quarter. Fisher Asset Management LLC grew its position in Pinnacle Foods by 17.9% in the 1st quarter. Fisher Asset Management LLC now owns 251,292 shares of the company’s stock valued at $13,595,000 after acquiring an additional 38,120 shares during the last quarter. Finally, Employees Retirement System of Texas grew its position in Pinnacle Foods by 34.2% in the 1st quarter. Employees Retirement System of Texas now owns 51,000 shares of the company’s stock valued at $2,759,000 after acquiring an additional 13,000 shares during the last quarter. 94.57% of the stock is currently owned by hedge funds and other institutional investors.
Pinnacle Foods Company Profile
Pinnacle Foods Inc manufactures, markets, and distributes branded convenience food products in North America. It operates through four segments: Frozen, Grocery, Boulder, and Specialty. The Frozen segment offers frozen vegetables, frozen complete bagged meals, frozen prepared seafood, frozen and refrigerated bagels, frozen pizza, and full-calorie single-serve frozen dinners and entrées under the Birds Eye, Birds Eye Voila!, Van de Kamp's, Mrs.
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