Kellogg upgraded to Buy from Neutral at Goldman Sachs

Goldman Sachs analyst Jason English upgraded Kellogg to Buy from Neutral with a price target of $83, up from $78. Food companies have seen meaningful growth acceleration over the past few years thanks to inflation-driven pricing, but that growth is about to become scarce in the industry as price fades and volume growth remains lacking for most, the analyst tells investors in a research note. The firm believes however that Kellogg stands out as one of the few who will be able to sustain increasingly scarce growth given its favorable end-market exposure and strong business momentum.