Jefferies Downgrades Peet's Coffee & Tea (PEET) to Hold; Acquired by Joh. A. Benckiser

July 24, 2012 9:48 AM EDT
Get Alerts PEET Hot Sheet
Price: $73.46 --0%

Rating Summary:
    1 Buy, 8 Hold, 0 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 0 | Down: 0 | New: 0
Trade PEET Now!
Join SI Premium – FREE
Jefferies downgraded Peet's Coffee & Tea (NASDAQ: PEET) from Buy to Hold with a price target of $73.50 (from $88.00).

Analyst, Alexander Slagle, said, "PEET announced that it entered into an agreement to be acquired by Joh. A. Benckiser in cash for $73.50/ sh. or ~$1B (29% prem to 7/20 pr.) & is expected to close in ~3 mo. While this announcement comes as a surprise, JAB appears to be good strategic match & we believe a competing bid is unlikely. Valuation represents ~13.5x '13 EBITDA or 30x EPS, which reflects its strong growth opportunity & premium brand positioning."

For an analyst ratings summary and ratings history on Peet's Coffee & Tea click here. For more ratings news on Peet's Coffee & Tea click here.

Shares of Peet's Coffee & Tea closed at $73.05 yesterday.

Serious News for Serious Traders! Try Premium Free!

You May Also Be Interested In

Related Categories

Downgrades, Mergers and Acquisitions

Related Entities

Jefferies & Co

Add Your Comment