These are top 10 stocks traded on the Robinhood UK platform in July
On Wednesday, Piper Sandler affirmed its positive stance on Utz Brands (NYSE:UTZ), reiterating an Overweight rating and a $20.00 price target for the company’s shares. The firm’s analysts highlighted that despite Utz’s stock experiencing a significant drop of approximately 24% since mid-December, trading at $13.58, the current valuation does not fully reflect the company’s prospects. According to InvestingPro data, the stock appears slightly undervalued, with a beta of 1.11 indicating moderate market sensitivity. The company has maintained a strong dividend track record, raising payouts for 5 consecutive years. They pointed to a more rational approach to promotional discounting in the salty snacks sector and Utz’s initiatives to boost marketing efforts and expand distribution channels.
Utz Brands has confirmed its financial outlook for 2025, which includes low single-digit organic sales growth, a 6-10% increase in EBITDA, a 100 basis point expansion in EBITDA margin, and a 10-15% rise in earnings per share (EPS). For the first quarter of 2025, Utz anticipates organic sales growth between 2.8-3.0%, surpassing Piper Sandler’s initial estimate of 0.0%. InvestingPro analysis reveals the company generated $1.41 billion in revenue over the last twelve months, with a gross profit margin of 35.11%. Get access to 7 more exclusive ProTips and comprehensive financial metrics with an InvestingPro subscription. This translates to expected revenues of around $350 million, compared to the firm’s projection of approximately $342 million, with unmeasured channels driving the growth. The company also expects its EBITDA to be in the range of $44-46 million, closely aligned with Piper Sandler’s estimate of $44.6 million, and projects EPS to be between $0.14 and $0.16, slightly under Piper Sandler’s $0.16 estimate.
In executive news, Utz announced that its Chief Financial Officer (CFO), Ajay Kataria, will be stepping down effective May 1, 2025. He will be succeeded by William K. Kelley Jr., who previously served as CFO of Tropicana Brands. Piper Sandler views this transition as a strategic move that positions Utz for its next phase of growth, rather than an indication of potential acquisition talks. Kelley’s experience is expected to contribute to the company’s continued success in the evolving snack industry. With an overall Financial Health score of ’FAIR’ from InvestingPro, and analysts predicting profitability this year, the company appears well-positioned for its next growth phase. Discover the complete financial story with InvestingPro’s comprehensive research report, available for Utz and 1,400+ other US stocks.
In other recent news, Utz Brands has been the subject of multiple analyst reviews and financial assessments. RBC Capital Markets adjusted its price target for Utz Brands to $20.00, down from $23.00, while maintaining an Outperform rating, following the company’s fourth-quarter revenue report that missed market expectations. Piper Sandler also maintained an Overweight rating for Utz Brands, with a $20.00 price target, expressing confidence in the company’s growth potential and strategic plans for 2025. Meanwhile, TD Cowen downgraded Utz Brands from Buy to Hold, lowering the price target to $15.00 due to concerns about the salty snack category and reduced expectations for a potential buyout. UBS initiated coverage with a Neutral rating and a $15.00 price target, acknowledging Utz Brands’ market share gains but expressing caution about broader industry challenges. Despite these mixed assessments, Utz Brands continues to focus on expanding its market share and improving operational efficiency. Piper Sandler noted that the end of aggressive discounting by competitors could benefit Utz, while RBC highlighted the company’s resilience in a challenging market environment. These developments provide a varied outlook on Utz Brands’ future performance amid ongoing market dynamics.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.