Market Overview

Upside in Flowers from Hostess Asset Purchases 'Uncertain, Unquantifiable, Well Down the Road' - DA Davidson

Related FLO
Flowers Foods to Submit Majority Voting Proposal to Shareholders
D.A. Davidson Reiterates Underperform Rating on Flowers Foods Following Strong Q2 EPS Report

DA Davidson's Tim Ramey believes potential upside for Flowers Foods related to speculation the company could buy assets from Hostess is "uncertain, unquantifiable, and, if possible at all, well down the road."

Ramey's comments follow a 15+% gain in shares of Flowers over the last week amid news of Hostess closing its doors due to labor issues.

The DA Davidson analyst said any EPS upside for Flowers related to the buying of Hostess assets would not be seen for at least two years after the process began.

Ramey has an Underperform rating and $14 price target on shares of Flowers Foods.

Posted-In: Analyst Color News Rumors Analyst Ratings

 

Most Popular

Related Articles (FLO)

Around the Web, We're Loving...

Partner Network

Get Benzinga's News Delivered Free