BofA Securities Starts Primo Brands Corp. (PRMB) at Buy

BofA Securities analyst Peter Galbo initiates coverage on Primo Brands Corp. (NYSE: PRMB) with a Buy rating and a price target of $42.00.

The analyst comments "We initiate on Primo Brands (PRMB) with a Buy rating and $42 PO, based on 12x our 2026E EV/EBITDA, a discount to 14x peer-average given relative lower free cash flow conversion. PRMB is the largest producer of bottled and packaged water in North America with 30 brands including Poland Spring and Pure Life. Formed from the Nov. 2024 merger of legacy Primo Water and Blue Triton, we expect PRMB’s share price to appreciate over the next 12 months as it delivers cost synergies ($300mm of EBITDA by 2026). If current multiple holds, this should lead to enterprise/equity value accretion. Other positives: 1) Bottled water gaining share of consumption in US LRBs and 2) category de-emphasis for other CSD producers should enhance category profitability."

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

Shares of Primo Brands Corp. closed at $32.22 yesterday.

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