BellRing Brands stock rating reiterated at Buy by DA Davidson

Investing.com - DA Davidson has reiterated its Buy rating and $85.00 price target on BellRing Brands (NYSE:BRBR) following the company’s third-quarter results. According to InvestingPro data, analysts maintain a strong bullish consensus with price targets ranging from $60 to $90, while the stock currently trades at $38.28.

The nutrition products company reported third-quarter results that exceeded DA Davidson’s estimates and consensus forecasts across all metrics, though the firm noted that shipment timing may have influenced the performance to some extent. The company’s strong performance is reflected in its 18.91% revenue growth and robust gross profit margin of 35.78%, according to InvestingPro data.

Despite the strong quarterly performance, DA Davidson indicated that the results did not significantly address ongoing investor debates about emerging competition in the nutrition space.

The research firm expects that BellRing’s upcoming earnings call will likely focus on factors driving the company’s apparently lower revised fourth-quarter guidance and whether this guidance appears conservative.

Additional topics expected to be discussed during the earnings call include management’s perspective on the fiscal year 2026 outlook, with DA Davidson noting that current consensus forecasts align with algorithm expectations for that period.

In other recent news, BellRing Brands has experienced several developments that could impact investors. Analysts at DA Davidson upgraded BellRing Brands’ stock rating from Neutral to Buy, setting a new price target of $85. This follows the company’s second-quarter results announcement for fiscal year 2025, which led to a 21% drop in share value. Despite this, DA Davidson remains optimistic, noting strong performance of BellRing’s Premier Protein products and anticipating continued expansion in the protein shakes segment.

Meanwhile, Jefferies raised its price target for BellRing Brands to $82, maintaining a Buy rating, while highlighting solid consumption of BellRing’s products. In contrast, Truist Securities lowered its price target to $60, citing multiple compression in the high-growth consumer peer group. Mizuho (NYSE:MFG) Securities also adjusted its outlook, reducing the price target to $75 but retaining an Outperform rating, acknowledging robust sales performance with notable increases in Premier shakes’ volume.

Additionally, Post Holdings (NYSE:POST) announced an acquisition of 8th Avenue Food & Provisions for approximately $880 million, a move expected to enhance its product offerings and expand its market presence. This acquisition will allow Post Holdings to internalize manufacturing of Peter Pan® peanut butter and enter the dry pasta market with the Ronzoni® brand. These recent developments provide a comprehensive view of the current landscape for BellRing Brands and its potential trajectory.

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