UPDATE: Credit Suisse Upgrades Hillshire Brands to Outperform, Raises PT

In a report published Wednesday, Credit Suisse Group upgraded its rating on Hillshire Brands

from Neutral to Outperform, and raised its price target from $28.90 to $31.00. Credit Suisse noted, “We conservatively forecast 1-2% volume growth per year over the next three years and outsized earnings growth beginning in FY 14 due to the high degree of operating leverage in Hillshire's cost structure and the slack capacity in the manufacturing platform. New management is investing in R&D and marketing to untap the latent power of market-leading brands like Jimmy Dean, Hillshire, Ball Park, and Aidells that have plenty of room to stretch.” Hillshire Brands closed on Tuesday at $26.57.