JBS S.A. reinstated with an Outperform at BMO Capital

BMO Capital analyst Andrew Strelzik reinstated coverage of JBS S.A. with an Outperform rating and R$30 price target. The company’s diversified business model across proteins and geographies, coupled with its balanced capital allocation strategy, should create offsets to the muted U.S. protein margin outlook, the analyst tells investors in a research note. BMO adds that while JBS’s Q1 performance likely will remain limited, its margins should accelerate beginning in Q2 as international fundamentals improve.