Utz Brands gets the upgrade of analysts where salty snacks gain traction, and the ease of promotions – Fresht (Nasdaq: FRPT), SunopTa (Nasdaq: Stkl)

Da Davidson Analyst Brian Holland upgraded UTZ brands Yutz From neutral to purchase on Thursday, keeping the price expectations $ 16.

The analyst sees a convincing preparation “risk reward” for UTZ brands despite the broader challenges in the food sector.

The Netherlands highlights many supportive factors, including the disposal mode in the category of salty snacks, which benefit from the low promotional pressure and the strong performance of UTZ signs in unrestricted retail channels.

In addition, the company has exceeded the expectations in converting its supply chain, and perhaps the way to the declines of upward profits in the event of the continued gain of its share in the market.

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The analyst also notes this, regardless of names such as Freshtt, Inc FRPT and Sunopta, Inc. STKLNo other food shares are currently being traded in the “broader relative assessment gap”.

The company released the initial results of 1q25 that was released last week.

Although the total sales in the category of salty snacks remained weak due to the pressure of the size moved by inflation, the increasing health awareness, and the potential effects of the use of GLP-1, the analyst notes that UTZ brands have gained the market share steadily.

This modest and consistent growth of shares was driven by expanded distribution, increasing marketing efforts, and creating products that target largely insecure markets – especially in areas that represent more than 60 % of salty snack sales.

While competitive promotional offers, especially from dominant players such as Freito LayThe analyst wrote that the lack of continuous size gains from these promotional offers led to the reset of the market, and that the lack of continuous gains from the size of these promotional offers led to the reset of the market.

Price work: UTZ shares are trading by 1.61 % to $ 13.60 in the last selection Thursday.

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