UPDATE: Citigroup Reiterates Berry Plastics Group at Buy on Deleveraging and Cash Generation
Citigroup reiterated its Buy rating and $18 price target on Berry Plastics Group (NYSE: BERY) following solid quarter results.
Citigroup noted, "BERY's Fiscal 4Q saw solid EBITDA growth (13% Y/Y) and cash generation ($159mm) despite a 2% decline in sales, helping the company to pay down debt ($113mm). Management tone was somewhat cautious due to sluggish economic conditions that have challenged volumes (YTD -6%) although the decline is partly due to voluntary shedding of lower margin business. Bottom line: cash generation and deleveraging are on-track, now organic volume improvement is the missing piece; maintain Buy."
Berry Plastics Group closed at $14.76 on Tuesday.
Latest Ratings for Bery
|Nov 2016||JP Morgan||Maintains||Overweight|
|Oct 2016||Jefferies||Initiates Coverage On||Buy|
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.