UPDATE: Bank of America Downgrades General Mills to Underperform, Reiterates $53 PT as Valuation Reflects 2H Recovery

In a report published Monday, Bank of America analyst Bryan D. Spillane downgraded the rating on

from Neutral to Underperform, but reiterated a $53.00 price target. In the report, Bank of America noted, “In conjunction with our 2015 Food and Beverage industry outlook report that we published this morning, we are lowering our rating on GIS from Neutral to Underperform. We believe that with the stock's recent performance along with its premium multiple, GIS will need to deliver earnings upside over the next few quarters to move the stock higher. In our view, this could be challenging given the current operating environment, suggesting the stock is likely to underperform.” General Mills closed on Friday at $53.11.