Flowers Foods price target lowered to $21 from $24 at DA Davidson

DA Davidson analyst Brian Holland lowered the firm’s price target on Flowers Foods (FLO) to $21 from $24 and keeps a Neutral rating on the shares. The evolving consumer behavior has forced the company to search further afield for growth in its acquisition of Simple Mills, paying up for an asset without clear synergies, and while the relative valuation implies the aforementioned is priced in, that is only the case if headwinds are cyclical and not secular, the analyst tells investors in a research note.