BMO Capital Downgrades This US Cereal Giant

by Shivani Kumaresan, Benzinga Staff Writer

January 31, 2022 7:42 AM | 1 min read | Make a Comment

BMO Capital analyst Kenneth Zaslow downgraded Kellogg Co K to Market Perform from Outperform with a price target of $70, down from $75, suggesting an upside of 7%.
The analyst sees a lower probability of upside to consensus expectations given the ongoing challenges in U.S. cereal and industry-wide supply constraints.
Zaslow notes soft U.S. cereal sales and incremental margin pressure may limit earnings upside.
The analyst adds he may have underestimated the impact of Kellogg's union strike.
Related Content: Kellogg's Workers End Strike, Union Says No Concessions Were Made
Price Action: K shares closed higher by 0.14% at $65.26 on Friday.