UPDATE: Piper Jaffray Reiterates Overweight Rating, Lowers PT on Ceres

In a report published Friday, Piper Jaffray & Co. reiterated its Overweight rating on Ceres

, but lowered its price target from $20.00 to $15.00. Piper Jaffray noted, “Ceres hosted a field day at its College Station, TX research center this week showcasing the company's recent developments in its energy crop portfolio and providing presentations from key downstream players. We continue to be impressed by the trait and breading developments from Ceres, and believe there is clear market demand for energy crops (sorghum specifically) over time. Back-to-back drought years in South America weighs mill group sentiment, and with Ceres in the midst of its selling season we are taking a more conservative stance on product adoption in the near-term, which ultimately pushes back adoption rates in the following years. Our estimate revisions bring down our price target to $15 from $20 previously, though we continue to believe that CERE shares offer unique ag biotech exposure and we reiterate our Overweight rating.” Ceres closed on Thursday at $7.26.