Mondelez price target raised to $73 from $65 at BofA

BofA analyst Peter Galbo raised the firm’s price target on Mondelez (MDLZ) to $73 from $65 and keeps a Buy rating on the shares as cocoa deflation lifts prospects for future earnings power. Mondelez focused the majority of its CAGNY presentation on opportunities within its Cakes & Pastries subsegment, where it sees a path to moving up from number three to number one in global share through three primary strategies, the analyst tells investors in a recap of the Consumer Analyst Group of New York Conference. The firm expects growth in cakes & pastries and other distribution opportunities to allow the about 70% of Mondelez’s portfolio that is non-chocolate focused to achieve at/above algorithmic growth over the longer term, the analyst noted.