UPDATE: Bank of America Raises PO to $31 on ConAgra Foods on FQ1 Upside
Bank of America reiterated its Buy rating on ConAgra Foods (NYSE: CAG) and increased its price objective from $28 to $31.
Bank of America said, "We are raising our F13 EPS estimate from $1.97 to $2.06, at the high end of management's raised outlook of $2.03 - $2.06, driven by the upside in F1Q13. The company remains cautious on EPS growth for the balance of the year due to increased advertising spending, modest inflationary pressures, lower cost savings vs. 1Q, and a higher tax rate in the balance of the year vs. 1Q. We are raising our F13 margin forecasts for both Consumer Foods and Commercial Foods from 12.7%/11.4% to 12.9%/11.7%, respectively."
ConAgra Foods closed at $27.51 on Friday.
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