UPDATE: Bank of America Upgrades Tyson Foods to Buy on Chicken and Beef Fundamentals
Bank of America upgraded Tyson Foods (NYSE: TSN) from Underperform to Buy and raised the price objective from $15.50 to $27.00.
Bank of America commented, "While egg sets have been relatively flat over the last few months, Chicken profitability is likely to be better than expected due to improving demand as result of trade down from higher priced proteins, increased features at retail, and a moderation in corn prices. Beef profits are expected to improve due to two drivers: 1) the closure of Cargill's Plainview, TX beef plant which represents 4% of capacity, and 2) the opening of Japan to beef from cattle up to 30 months of age, compared to the previous 20 month age limit."
Tyson Foods closed at $22.26 on Monday.
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