UPDATE: Citi Resumes Utz Brands (UTZ) at Buy

Citi analyst Wendy Nicholson resumes coverage on Utz Brands (NYSE: UTZ) with a Buy rating and a price target of $21.00.

The analyst comments "Year to date, UTZ’s stock has fallen ~25%, while the market is up ~20%. We attribute this weakness in the stock price to the lowering of expectations for growth at the company – both on the top and bottom line. We attribute this lowering of expectations primarily to the difficult macro environment – with pressures coming from higher prices for commodities, labor, freight, logistics, etc. – on top of tough comps to the year-ago period, when sales growth was boosted by consumers snacking more at home. Ultimately, we think that for all of the reasons UTZ has seen more pressure this year, the company should see improvements into 2022 (as pricing and productivity come into play in 2H21 and should carry into 2022, and top-line comps are easier). We are resuming coverage of UTZ with a Buy rating and $21 target price."

For an analyst ratings summary and ratings history on Utz Brands click here. For more ratings news on Utz Brands click here.

Shares of Utz Brands closed at $16.05 yesterday.

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