Itaú BBA raises recommendation for BRF to 'buy'
Itaú BBA has raised its recommendation for shares in food company BRF to 'buy' (outperform), with a new target price of R$ 53 by the end of 2013, compared with the previous R$ 47. In the short term the brokerage sees an increase in profitability, caused by a lack of additional capacity, among other factors.
In its report, the brokerage says it has a more constructive view in the short and medium term for the prices of processed foods and it believes that the company is ready to sustain the current positive prices with an upward bias, producing strong margins on the domestic market.
Information provided by Valor Econômico