UPDATE: Citigroup Upgrades Mead Johnson Nutrition Company to Buy, Raises PT on Improving Chinese Operations

In a report published Monday, Citigroup analyst David Driscoll upgraded the rating on Mead Johnson Nutrition Company MJN from Neutral to Buy, and raised the price target from $77.00 to $95.00. In the report, Citigroup noted, .“We are upgrading shares of Mead Johnson to a Buy rating from a Neutral, with a target price of $95/sh (+$18), and adding it to Citi's Focus List. We see upside to 3Q13 vs. consensus by +4c at $0.83/sh. Further, we see Mead exceeding the top end of its guidance of $3.22-$3.30, by +1c, and which compares to consensus of $3.27/sh. Our proprietary survey of China across more than 50 retail outlets indicates that Mead is gaining share in China from its competitors. Further, it appears that the significant product recalls by two of its key competitors are at the heart of Mead's market share advances, and which drive our positive EPS revisions – 2013 $3.31 (+9c), 2014 $3.60 (+13c), and 2015 $4.05 (+18c).” Mead Johnson Nutrition Company closed on Friday at $78.81.