Analysts’ Top Consumer Goods Picks: Tyson Foods (TSN), Amyris (AMRS)

By Ryan Adsit

There’s a lot to be optimistic about in the Consumer Goods sector as 2 analysts just weighed in on Tyson Foods (NYSE:TSN) and Amyris (NASDAQ:AMRS) with bullish sentiments.

Tyson Foods (TSN)

In a report released today, Akshay Jagdale from Jefferies maintained a Buy rating on Tyson Foods, with a price target of $75. The company’s shares closed on Friday at $63.40.

Jagdale commented:

“Today’s announcement that Tom Hayes is stepping down as CEO for personal reasons caught us by surprise. CEO transitions are never easy, especially sudden ones like this. However, we are encouraged by the fact that guidance was reiterated and that the new CEO is Noel White. Mr. White is a TSN veteran and someone we have a great deal of respect for as an outstanding operator. We don’t expect any near term strategic shifts.”

According to TipRanks.com, Jagdale is a 4-star analyst with an average return of 4.8% and a 54.1% success rate. Jagdale covers the Consumer Goods sector, focusing on stocks such as Lamb Weston Holdings, McCormick & Company, and J & J Snack Foods.

Currently, the analyst consensus on Tyson Foods is a Moderate Buy with an average price target of $71.44.

See today’s analyst top recommended stocks >>

Amyris (AMRS)

In a report released today, Amit Dayal from H.C. Wainwright maintained a Buy rating on Amyris, with a price target of $15. The company’s shares closed on Friday at $7.55.

Dayal said:

“We believe that the company should be able to support stronger gross margins driven by Biossance sales. Also, we expect especially strong 4Q18 gross margins driven by the high-margin contract revenue projected in that quarter. In line with this, we now estimate gross margins of 73.0% and 78.4% during 3Q18 and 4Q18, respectively. We have not made any significant changes to our projections for 2019 and beyond. We expect the company’s topline to grow at a five-year CAGR of 30.7% from $185.9M in 2018 to $715.6M in 2023. We expect mid- to long-term gross margins to fluctuate between 60-70%, driven by lumpiness of the high margin revenues from grants and collaboration. We are projecting operating expenses to grow at a five-year CAGR of 7.4% from 2018 to 2023. We expect the company to achieve EBITDA profitability during 2018.”

According to TipRanks.com, Dayal has currently no stars on a ranking scale of 0-5 stars, with an average return of -6.4% and a 39.0% success rate. Dayal covers the Consumer Goods sector, focusing on stocks such as Superconductor Technologies Inc, Pointer Telocation Ltd, and Pacific Ethanol.

Amyris has an analyst consensus of Moderate Buy, with a price target consensus of $12.50.

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