National Beverage price target raised to $48 from $47 at UBS

UBS raised the firm’s price target on National Beverage to $48 from $47 and keeps a Sell rating on the shares following the fiscal Q4 report. The company’s fundamentals are improving but the stock’s valuation is now “stretched,” the analyst tells investors in a research note. The firm says that while management seems confident in the company’s ability to continue to grow volumes into the first half of fiscal 2025 despite some deceleration in tracked channels, the magnitude of margin expansion in the near-term remains unclear. UBS continues to believe National Beverage’s risk/reward skews to the downside, particularly as market share concerns remain.