Management's focus on innovation and brand investments has led to improved performance.
Market continues to underappreciate tobacco stocks.
A revitalized portfolio and strengthened execution stand to support sales gains.
The narrow-moat firm's brand investments should support solid volume performance.
We expect to trim our fair value estimate and would suggest investors await a more favorable entry point.
Our longer-term outlook on the narrow-moat firm calls for around 6% sales growth and mid-30s operating margin on average.
We plan to trim our fair value estimate as we temper our near-term sales and profitability forecast for Pinnacle.
Even with the mid-single-digit percentage uptick in the share price after the earnings release, we continue to think the name offers an attractive entry point.
New CEO Pierre Laubies should be able to leverage his experience to help Coty successfully integrate the assets acquired from Procter & Gamble while extracting cost synergies and reducing its debt load.
The shares are commanding an increasingly premium price without a major shift in fundamentals.
The wide-moat firm's efforts to drive innovation within its portfolio and better promote new offerings have gained traction with consumers.
The deal should bolster Coca-Cola's presence in the fast-growing coffee category, and shares remain attractive.
The firm's strategic initiatives to improve merchandising and expand its footprint continue to take hold.
The maker of Jack Daniels' substantial brand should help it leverage pricing to offset tariff pressures longer term.
The purchase reflects the wide-moat firm's ongoing focus on more natural and nutritious offerings.
While the price paid was excessive, we're constructive on the longer term opportunities the investment in leading cannabis firm Canopy Growth could yield.
The selection of current president Ramon Laguarta to succeed outgoing CEO Indra Nooyi is evidence of the wide-moat firm's deep bench.
We don't expect a big change to our fair value estimate for the narrow-moat firm.
A leading portfolio of beverages and snacks will feed returns on invested capital.
The brand assets that underpin the narrow-moat beverage producer's competitive edge remain healthy.
We expect to raise our fair value estimate, but shares are still overvalued.
We're maintaining our long-term outlook for Pepsi, and see shares trading at an attractive 15% discount to our fair value estimate.
We remain impressed by the firm’s beer business, but shares are not a bargain.
We expect the wide-moat packaged foods maker's gross margins to bounce back and think shares are undervalued.
With the purchase of narrow-moat Blue Buffalo, wide-moat General Mills is hoping to prop up sales, as top-line growth across the packaged foods landscape remains elusive.
The softening hard cider category and continued competition in the maturing craft beer market will constrain longer term volume growth.
We're planning to increase to our fair value estimate for the wide-moat firm.
We appreciate the strategic rationale of the tie-up, from both a distribution and product mix perspective.
The wide-moat firm's cost savings initiatives should fuel further bottom-line gains over the next several years.
Shares are trading slightly below our fair value estimate, but we think investors should wait for an entry point with a more favorable risk/reward opportunity.
We think the wide-moat company will be able to leverage line extensions and product innovation in its portfolio of leading brands to revitalize sales over the next several years.
Leadership in the prestige beauty category gives it a wide economic moat.
We’re planning on trimming our fair value estimate for Coke after second-quarter results and see shares as fairly priced today.
The wide-moat firm continues to maintain its leading position in a competitive landscape.
Top-line gains will be feasible as a result of growth in the narrow-moat company’s above-premium offerings, share gains in the premium light segment, and improved branding in the economy segment.
Despite near-term challenges, we see substantial opportunity in the above-premium whiskey market and contend that the wide-moat company will be a beneficiary of strong consumer demand for higher-end spirits.
A robust portfolio of noncarbonated beverages and snacks will allow the wide-moat firm to weather declining carbonated soft drink volumes more easily than its peers.
Shares for the firm are slightly undervalued, but we stand by our fair value estimate.