Analyst Anthony Vendetti from Maxim Group reiterated a Buy rating on Mama’s Creations and keeping the price target at $14.00.
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Anthony Vendetti has given his Buy rating due to a combination of factors that highlight Mama’s Creations’ strategic growth and financial health. The recent acquisition of Crown, a subsidiary of Sysco Corporation, is a significant move that is expected to add $56 million in annual revenue. This acquisition not only expands Mama’s production capabilities with a new facility but also brings in premium retail partners and experienced managerial talent, enhancing the company’s operational efficiency and market reach.
Additionally, preliminary results for F2Q26 exceeded expectations, with revenue and net income surpassing estimates, which underscores the company’s robust performance. Mama’s Creations’ strategic use of mergers and acquisitions as a growth strategy, along with its modernized ERP system, positions it well for future integration and expansion. The company’s strong cash position and manageable debt levels further support its growth trajectory. The attractive valuation, with a price target of $14.00, reflects confidence in the company’s expanding customer base and above-industry growth potential in the deli-prepared foods sector.
In another report released yesterday, Craig-Hallum also reiterated a Buy rating on the stock with a $11.00 price target.