Citi Reiterates Hold On CPB

Citi is reiterating its Hold rating and is also maintaining its $36 price target on Campbell Soup (NYSE: CPB) as the company begins to heavily reinvest back into itself.

Says Citi, in its report, “We are raising our F4Q11 EPS estimate to $0.39 (+5c) due to revised guidance. Additionally, we are lowering our FY12 EPS estimate to $2.35 (-5c) and our FY13 EPS estimate to $2.50 (-7c). Our target price remains at $36. We reiterate our Hold rating as CPB is still in turnaround mode and at its current share price and valuation, it appears that optimism is already priced in.”

CPB closed yesterday at $34.59.