D.A. Davidson analyst Brian Holland maintained a Buy rating on BellRing Brands (BRBR – Research Report) today and set a price target of $85.00.
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Brian Holland has given his Buy rating due to a combination of factors influencing BellRing Brands’ current and future performance. Following a significant 21% drop in the company’s stock after its second-quarter results, Holland sees this as an opportunity to upgrade the stock to a Buy, highlighting it as a top idea in the food sector. He believes that the recent inventory reductions by retailers are not indicative of a larger issue, as Premier Protein is performing well on shelves and the demand for protein shakes is expected to grow.
Holland’s confidence is further supported by the company’s strategic positioning and potential for growth. Despite a slight decrease in FY26E EBITDA expectations due to tariffs, the long-term outlook remains positive, with secular trends and company strategies pointing to sustained growth. Additionally, BellRing Brands is considered a potential acquisition target, adding another layer of appeal. The protein shake category, in particular, is projected to drive significant growth, with a strong historical and forecasted compound annual growth rate, suggesting a promising future for the company.