Peter Galbo, an analyst from Bank of America Securities, reiterated the Buy rating on Primo Brands. The associated price target remains the same with $39.00.
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Peter Galbo’s rating is based on several key factors that suggest a positive outlook for Primo Brands. The company’s performance is closely tied to weather patterns, particularly during the summer months, which account for a significant portion of annual sales. The bi-weekly weather tracker indicates favorable conditions for bottled water consumption, with warmer temperatures expected across much of the U.S., which could drive sales growth.
Additionally, recent retail sales data shows a positive trend with low-single-digit increases, despite regional variations. The Northeast, for example, has shown strong recovery, and the South is expected to benefit from warmer temperatures, although wet weather might offset some gains. With a price objective of $39.00 USD, significantly higher than the current price of $28.72 USD, and the upcoming earnings report, Galbo sees potential for growth, supporting his Buy rating.
According to TipRanks, Galbo is a 2-star analyst with an average return of 0.0% and a 47.95% success rate. Galbo covers the Consumer Defensive sector, focusing on stocks such as Primo Brands, Conagra Brands, and McCormick & Company.
In another report released yesterday, TD Securities also maintained a Buy rating on the stock with a $48.00 price target.