UPDATE: J.P. Morgan Upgrades Kraft, Downgrades TreeHouse

According to a research report published this morning, J.P. Morgan has upgraded Kraft KFT from Neutral to Overweight, and downgraded TreeHouse THS from Overweight to Neutral. In the report, J.P. Morgan said, "For Kraft, not only have Nielsen Co. data been relatively robust lately, but also our analysis suggests that the dividend yield on GroceryCo could be higher than perhaps anticipated, and we see Kraft's sum-ofparts valuation as appealing. Regarding TreeHouse, wen still like the story longerterm but think the next two quarters could be so-so. And barring a large and accretive acquisition – which may be difficult if potential targets are hesitant to sell when margins are low – we no longer have a valuation argument for meaningful near-term upside." J.P. Morgan maintains its KFT PT of $45, and THS PT of $60. KFT is currently trading at $39.71. THS is currently trading at $57.66.