J.M. Smucker price target raised to $130 from $116 at Jefferies

Jefferies analyst Rob Dickerson raised the firm’s price target on J.M. Smucker (SJM) to $130 from $116 and keeps a Hold rating on the shares. The firm notes the company posted a solid Q2, with organic volumes impressive given the food sector backdrop. Margin over-delivery in Coffee aided by pricing with no total portfolio elasticity, but as coffee costs ramps from here, Jefferies anticipates elasticity to tick up/more pressured margins. Another strong Pet margin raises questions around how much stranded overheads are actually embedded, the firm adds.