Freshpet price target raised to $120 from $100 at BofA

BofA analyst Bryan Spillane raised the firm’s price target on Freshpet to $120 from $100 and keeps a Buy rating on the shares. Freshpet reported Q4 sales 3% ahead of BofA estimates with adjusted EBITDA that beat the firm’s estimate thanks to a “whopping” 820 basis points of year-over-year margin expansion, the analyst tells investors. With good sales momentum into Q1 and fatter margins funding stepped-up marketing to start the year, “we see little difficulty getting our model to FY24 guidance” and the “achievable” FY24 guidance further derisks FY27 targets, the analyst added.