Jefferies Initiates Coverage On TreeHouse Foods

Jefferies & Co. is initiating coverage on shares of TreeHouse Foods THS with a Hold rating and a $59 price target on shares. In a note to clients, Jefferies writes, "We initiate coverage of TreeHouse Foods with a $59/share target price and Hold rating. We view THS as a good operator in a complex private label industry, competing in some attractive and some mediocre categories with strong management that has a good eye for acquisition opportunities. What is missing for us though is the company's organic growth, which should outpace the branded peers' U.S. business, but is actually lagging." Shares of THS gained $1.09 yesterday to close at $57.32, a gain of 1.94%.