Novo Nordisk, Eli Lilly fall after Trump comments on weight loss drug pricing
Investing.com - BMO Capital has lowered its price target on Pilgrim’s Pride (NASDAQ:PPC) to $40.00 from $48.00 while maintaining a Market Perform rating on the stock. The company, currently trading at $37.79 and near its 52-week low of $37.03, maintains a GREAT financial health score according to InvestingPro analysis.
The price target reduction reflects BMO Capital’s concerns about potential risks to consensus earnings per share (EPS) forecasts beginning in the third quarter of 2025.
The firm noted that risks to EPS expectations would increase "to a greater extent" in the fourth quarter of 2025 and into 2026, citing expectations for "more modest US chicken margins" ahead.
BMO Capital’s 2026 EPS forecast for Pilgrim’s Pride incorporates a return to normalized US chicken margins for the company.
The firm specifically projects 8% US chicken margins for Pilgrim’s Pride as part of this normalization process.
In other recent news, Pilgrim’s Pride Corp reported its second-quarter 2025 financial results, exceeding market expectations. The company posted an earnings per share (EPS) of $1.70, surpassing the forecasted $1.59. Additionally, Pilgrim’s Pride achieved actual revenues of $4.8 billion, beating the anticipated $4.62 billion. These results mark a positive surprise of 6.92% in earnings. Despite the strong financial performance, the stock experienced a slight decline of 0.4% in regular trading. Analysts had projected these financial figures, and the company’s performance outstripped those estimates. Investors may find the revenue and earnings beat noteworthy in assessing Pilgrim’s Pride’s recent developments.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.