RBC Capital Reiterates a Buy Rating on UTZ Brands (UTZ)

UTZ Brands, Inc. (NYSE:UTZ) is one of the most undervalued small cap stocks to invest in now. RBC Capital analyst Nik Modi reiterated a Buy rating on UTZ Brands, Inc. (NYSE:UTZ) on October 28, setting a $20 price target.

However, UTZ Brands, Inc. (NYSE:UTZ) received a Hold rating from UBS analyst Peter Grom on October 20, with a $13.50 price target.

Basing his rating on the company’s current market position, Grom stated that while UTZ Brands, Inc. (NYSE:UTZ) has unchanged guidance for fiscal year 2025 with expectations for modest EBITDA margin expansion and organic sales growth, the overall sentiment associated with the salty snacks domain remains cautious.

Although UTZ Brands, Inc. (NYSE:UTZ) is exhibiting favorable performance trends that surpass the overall salty snacks domain, concerns about the sustainability of the company’s top-line growth still exist, especially in the backdrop of continuing macroeconomic and category pressures, according to the analyst.

Grom thus stated that such concerns have caused a drop in the stock’s performance, resulting in it underperforming compared to the broader market and its peers since early August.

UTZ Brands, Inc. (NYSE:UTZ) markets, manufactures, and distributes branded snacks. Its portfolio includes a range of salty snacking products, such as pretzels, potato chips, veggie, cheese, and pork skins. The company’s brands include Utz, Golden Flake, Zapp’s, Good Health, Hawaiian, and Boulder Canyon.

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Disclosure: None. This article is originally published at Insider Monkey.