BellRing Brands stock price target lowered to $37 by TD Cowen on growth concerns

Investing.com - TD Cowen has reduced its price target on BellRing Brands (NYSE:BRBR) to $37.00 from $45.00 while maintaining a Buy rating on the stock. The new target still suggests significant upside potential from the current price of $27.61, with InvestingPro data showing the stock is trading near its 52-week low after falling over 63% year-to-date.

The firm cited concerns about slowing growth prospects for the nutrition products company, particularly noting a slow start to the first quarter of fiscal year 2026 based on retail tracking data. This comes despite BellRing’s strong 16.27% revenue growth over the last twelve months and a healthy gross profit margin of 35.43%.

TD Cowen analyst Robert Moskow lowered fiscal year 2026 sales growth estimates to 6%, below the consensus expectation of 9%, and adjusted EBITDA growth to -4%, compared to the consensus of +3%.

The analyst also expressed uncertainty regarding Costco’s plans for the shake category as competition intensifies in the nutritional beverage space.

TD Cowen indicated interest in hearing management’s perspective on the Premier brand’s potential expansion into the untapped convenience store channel during BellRing’s upcoming fourth-quarter earnings call.

In other recent news, BellRing Brands is set to release its fiscal fourth-quarter 2025 results on November 18, with UBS maintaining a Neutral rating and a price target of $39. UBS has highlighted concerns over the company’s top-line performance, citing recent Nielsen data that shows only low-single-digit growth in October. Bernstein SocGen Group has reiterated its Outperform rating on BellRing Brands, setting a price target of $46, and noted strong sales of Premier Protein during the summer months through September. Additionally, BellRing Brands has entered settlement agreements to resolve multiple class action lawsuits related to its Joint Juice product, as disclosed in a recent SEC filing. The lawsuits, known as the Joint Juice Litigation, sought monetary damages and injunctive relief in several states. Bernstein SocGen Group also initiated coverage on BellRing Brands with an Outperform rating, noting challenges from retailer inventory shifts and increased promotions affecting earnings. DA Davidson has reiterated its Buy rating for the company following a meeting with BellRing’s leadership team, although no specific price target was provided. These developments come amid significant stock pressure for BellRing Brands this year.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.