BellRing Brands price target lowered to $73 from $79 at Stephens

Stephens analyst Jim Salera lowered the firm’s price target on BellRing Brands (BRBR) to $73 from $79 and keeps an Equal Weight rating on the shares. The company posted “generally healthy” fiscal Q2 results with a modest top-line and adjusted EBITDA beat, but flagged a short-term trade inventory correction in Q3 that is now expected to weigh on sales despite underlying consumption staying healthy. Looking forward, BellRing maintained its FY25 guidance, notes the analyst, who thinks FY25 EBITDA growth of 7%-14% is “still quite achievable.” The category remains structurally advantaged and Premier’s brand metrics continue to trend positively, but the firm maintains a balanced view of the near-term risk/reward setup with a more cautious consumer backdrop and a valuation that is still elevated relative to peers, the firm added.