Goldman Sachs Reiterates Buy Rating On Dean Foods

According to Goldman Sachs, Dean Foods Company (NYSE: DF) Buy rating is reiterated.

Goldman Sachs said that it reiterates its Buy rating on Dean Foods (DF) and sees sizable return potential over the next 12 months based on its $19 price target. “We have been getting two major pushbacks to our upgrade of DF to Buy: (1) whether private label milk margin over cost will sustain its recent stabilization and (2) how real DF's cost saving opportunity is and cost associated with achieving it. Recent data points and a deeper look at DF's cost savings opportunity give us confidence in both and we believe that DF's share price will rise as margins expand over the next several quarters.”

Dean Foods Company closed on Friday at $13.57.