UPDATE: Bank of America Merrill Lynch Raises PO on H.J. Heinz to $55

Bank of America Merrill Lynch is out with its report today on H.J. Heinz HNZ, raising its PO to $55. In a note to clients, Bank of America Merrill Lynch writes, "We raise our FY12E/FY13E EPS estimate from $3.30/$3.50 to $3.35/$3.62, including a $0.06 benefit from currency in FY12. We are modeling flat 1Q12 EPS ($0.75) due to tough comparisons, exiting Boston Market license, and price increases still being implemented. We also introduce FY14 EPS of $3.88. Our $55 P.O. is based on 16.9x our CY11E EPS of $3.25, a 4.4% premium to its peers. The premium multiple is supported by HNZ' exposure to faster growing geographies and 3.6% dividend yield." Shares of HNZ closed Thursday at $53.82, up 0.81% from Wednesday's close.