UPDATE: Bank of America Resumes Coverage on Prestige Brands
According to a research report published this morning, Bank of America has resumed coverage on Prestige Brands (NYSE: PBH) with an Underperform rating and $15 PO.
In the report, Bank of America explained, "We are resuming coverage of PBH at Underperform following a bid by Mexican company Genomma, which has since been rescinded. PBH has shifted its business towards OTC via acquisitions, the most recent of which was a 17-brand portfolio from GSK last quarter, adding ~$200mil to PBH's ~$400mil existing sales base. PBH is benefiting from EPS accretive acquisitions and a strong step-up in advertising has accelerated organic growth to a peer-high +7.5% in [FQ4]."
Prestige Brands is currently trading at $13.78.
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