J.P. Morgan Reports on TreeHouse Foods (THS)

J.P. Morgan released a report on TreeHouse Foods THS earlier today. In the report, J.P. Morgan explained its removal of TreeHouse from the U.S. Analyst Focus List, but remained optimistic for the future of TreeHouse. J.P. Morgan states, “We are removing THS from the US Analyst Focus List. Even after yesterday's 3.7% decline the shares are up 11% this year and we no longer see sufficient near-term upside to justify a Focus List entry. That said, we continue to see THS as a longer term outperformer worthy of an Overweight rating. IQ was softer than expected, but history says that THS should be able to take enough pricing to eventually offset recent freight-related headwinds. And FY12 should be better than expected now that ERP implementation costs have been shifted that year into FY11.” J.P. Morgan has an Overweight rating on TreeHouse, and is raising its price target from $57.00 to $62.00. TreeHouse closed down 3.72% yesterday to end the trading day at $56.70.