NEW YORK (TheStreet) -- Hillshire Brands (HSH) shares were downgraded to "market perform" from "outperform" by analysts at Sanford C. Bernstein on Friday.
Despite the ratings downgrade, the firm raised the company's price target to $55 from $41.
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Hillshire received a bump in trading yesterday, rising as much as 17%, after Tyson Foods (TSN) made a $6.1 billion acquisition offer for the company.
The company's shares are flat in early market trading today.
Separately, TheStreet Ratings team rates HILLSHIRE BRANDS CO as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate HILLSHIRE BRANDS CO (HSH) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and poor profit margins."
Highlights from the analysis by TheStreet Ratings Team goes as follows: