Sanderson Farms Shares Fall On Analyst Downgrade

Goldman said there are still risks to the industry, including weak demand, production that could increase — and hurt prices— and renewed threats by Russia of cutting off all imports.

He said given that, "it's prudent to take a less aggressive stance" on the stock.

Goldman cut his fiscal 2009 earnings per share estimate to $1.60 from $2.02 and his fiscal 2010 estimate to $2.37 per share from $3.48.

According to Thomson Reuters, analysts on average predict the company earns $2.44 in fiscal 2009 and $3.66 in fiscal 2010.