UPDATE: Goldman Sachs Initiates Berry Plastics Group at Buy on Growth, Debt Profile
Goldman Sachs initiated coverage on Berry Plastics Group (NYSE: BERY) with a Buy rating and a $17 price target.
Goldman Sachs commented, "We initiate coverage of Berry Plastics Group, Inc. (BERY), a leading consumer packaging and engineered solutions provider, with a Buy rating and $17, 12-month price target, implying 22% upside. We like BERY's sector-leading top-line growth profile (given its leverage to faster-growing plastic packaging substrates and track record of accretive acquisitions) and strong free cash flow generation. While we note BERY's higher leverage and limited free float, we see multiple expansion potential from deleveraging. BERY completed its IPO offering on 10/4/12, issuing 29 mn shares and raising $471 mn of equity."
Berry Plastics Group closed at $13.88 on Monday.
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