Thanks to strong growth in its Silk and Horizon Organic brands, Dean Foods Co. has firmly established its dominance in the milk category, according to Prudential Financial analyst John McMillin.
In a research note published Wednesday, McMillin mentions that the company’s various health and wellness initiatives undertaken has accelerated its cost savings. Dean Foods is the largest dairy producer in the United States.
“The sustained strength in Silk and Horizon Organic has confirmed Dean Foods’ dominant position in the milk segment,” the analyst said, according to newratings.com.
McMillin maintained his "overweight" rating on Dean Foods, which trades on the New York Stock Exchange under the symbol DF.
The company’s stock target price has been raised from $43 to $45.