Deutsche Bank Reiterates Hold Rating, $31 PT on ConAgra Foods

In a report published Monday, Deutsche Bank reiterated its Hold rating and $31.00 price target on ConAgra Foods

. Deutsche Bank noted, “We raised our target based on the proposed Ralcorp deal and incremental accretion. M&A-driven EPS potential (along with a solid div. yield) has contributed to stock strength. But core fundamentals remain challenging, leverage will soon be high (3.7x net debt/EBITDA) and we question how much value can come from private label. HOLD.” ConAgra Foods closed on Friday at $30.15.