Phibro Animal Health stock surges after JPMorgan upgrade to Overweight

Published 07/07/2025, 16:42
Phibro Animal Health stock surges after JPMorgan upgrade to Overweight

Investing.com -- Phibro Animal Health Corp. (NASDAQ:PAHC) stock rose 8% on Monday after JPMorgan upgraded the animal health company to Overweight from Neutral, setting a price target of $35.00, up from $25.00.

JPMorgan analyst Ekaterina Knyazkova’s upgrade represents the only buy rating on the stock. The new price target suggests significant upside potential from Friday’s closing price of $28.

Knyazkova cited strong execution across Phibro’s Animal Health portfolio in recent quarters, noting that these positive trends are likely to continue due to robust customer demand and healthy industry fundamentals. The integration of Zoetis (NYSE:ZTS)’ medicated feed additives (MFA) business has also exceeded expectations, with revenues coming in at higher margins than anticipated.

"The acquisition of the ZTS MFA business is also tracking ahead of expectations with revenues coming in at higher margins than we expected, which is supporting higher EPS & EBITDA for the company," Knyazkova wrote in her research note.

Despite Phibro shares having already performed well this year, the analyst sees further upside potential based on the company’s attractive valuation at approximately 11 times projected 2026 earnings. JPMorgan’s fiscal 2026 estimates for Phibro now stand above consensus expectations.

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

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