Raymond James maintains Outperform on Premium Brands stock

Published 24/03/2025, 12:54
Raymond James maintains Outperform on Premium Brands stock

On Monday, Raymond (NSE:RYMD) James reaffirmed its positive stance on Premium Brands Holdings Corp . (TSX:PBH:CN) (OTC: PRBZF), with analyst Michael Glen maintaining an Outperform rating and a Cdn$100.00 price target. The company’s fourth-quarter results and the 2025 outlook were key factors in the analyst’s assessment. Premium Brands’ guidance for 2025 forecasts revenues between $7.2 billion and $7.4 billion, surpassing the consensus estimate of $7.1 billion. Additionally, the company’s projected adjusted EBITDA of $680 million to $700 million also slightly exceeds the consensus figure of $679.4 million.

The guidance provided by Premium Brands indicates a strong trajectory, particularly due to the U.S.-focused sales initiatives in its Specialty Food segment. Currently, the Protein segment is leading the company’s performance, with expectations for the Sandwich segment to gain momentum in the medium term. Throughout the year, the company plans to launch new products in protein, sandwich, and bakery categories.

Investors are expected to pay close attention to the second half of the year as the large Tennessee sandwich facility progresses. Management has announced that the facility is slated for completion by late June, with a 12-month period anticipated for ramping up volumes thereafter.

The company’s strategic focus and positive guidance reflect the management’s confidence in Premium Brands’ growth prospects. With the U.S. market playing a significant role in the company’s sales initiatives, the Specialty Food segment is poised to contribute significantly to the overall positive momentum. The anticipated completion and subsequent ramp-up of the Tennessee sandwich facility are also expected to be key drivers of growth for Premium Brands in the coming months.

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

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.