RAH: Fiscal Third-Quarter Earnings Roughly In Line With Preannouncement

Analysts at William Blair & Co maintain their "outperform" rating on Ralcorp Holdings Inc RAH. According to William Blair & Co, “Fiscal third-quarter earnings were roughly in line with preannounced results. Adjusted EPS of $1.11 were $0.11 above our estimate, $0.10 above consensus, and down 14% year-over-year (excluding $0.12 of equity investment income in the year-ago period). Upside relative to our estimates was driven by lower operating expense ($0.11) and favorable tax rate ($0.05), partly offset by lower gross margin ($0.05).” “Moreover, with potential for firming cereal category trends (over time) and/or acquisition-related revenue and cost synergies (related to American Italian Pasta), we consider valuation attractive,” the analysts add. More Analyst Ratings here