The firm said it raised its rating on the over the counter healthcare and household cleaning brands marketer, seller, and distributor, as shares have underperformed the S&P 500 year-to-date, and the stock's valuation has become more "reasonable."
"The flu season remains a wildcard, but we see little else near-term to drive the stock materially higher, particularly given fundamental headwinds," Jefferies said.
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The firm said Prestige Brands' risk/reward is "now more balanced."
Jefferies has a $30 price target on Prestige Brands stock.
The firm anticipates the company will post earnings per share of $1.78 for the current year, and earnings of $1.98 per share for the following year.
Separately, TheStreet Ratings team rates PRESTIGE BRANDS HOLDINGS as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate PRESTIGE BRANDS HOLDINGS (PBH) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income."