Hain Celestial (HAIN) Gets a Buy Rating from Jefferies

By Ryan Adsit

In a report released today, Akshay Jagdale from Jefferies maintained a Buy rating on Hain Celestial (HAINResearch Report), with a price target of $35. The company’s shares closed yesterday at $22.04.

Jagdale observed:

“Following investor meetings w/ new CEO, Mark Schiller, we have increased conviction in our Buy rating. We view the new strategy as sound, and expect improved execution driven by a combination of new people, processes, incentives & products. Over the next FY, sales will be down a lot (aggressive cut in tail) before they start growing again but we expect consistent sequential EBITDA improvement. We view the risk/reward as attractive, especially for LT investors.”

According to TipRanks.com, Jagdale is a 3-star analyst with an average return of 2.2% and a 50.4% success rate. Jagdale covers the Consumer Goods sector, focusing on stocks such as Lamb Weston Holdings, McCormick & Company, and Conagra Brands Inc.

The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Hain Celestial with a $20.64 average price target, a -6.4% downside from current levels. In a report issued on February 28, Maxim Group also initiated coverage with a Buy rating on the stock with a $25 price target.

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Based on Hain Celestial’s latest earnings release for the quarter ending December 31, the company reported a quarterly GAAP net loss of $66.5 million. In comparison, last year the company had a net profit of $47.1 million.

Based on the recent corporate insider activity of 35 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of HAIN in relation to earlier this year.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

Hain Celestial Group, Inc. engages in the production and distribution of organic and natural products. Its brands include Celestial Seasonings, Earth’s Best, Ella’s Kitchen, Terra, Garden of Eatin, Sensible Portions, and Health Valley. It operates through the following geographical segments: United States, United Kingdom, and Rest of World.