Tupperware Brands (TUP) PT, Estimates Trimmed at Piper Jaffray; Maintains 'Overweight'

Piper Jaffray analyst Stephanie Wissink trimmed her price target on Tupperware Brands (NYSE: TUP) to $76.00 (from $77.00) but maintained an Overweight rating following Q2 results.

Wissink commented, "Our near-term thesis surrounding regional mix and human capital based improvements is being tested by a more highly volatile global marketplace. We are encouraged by above HPC avg growth at 4% with expectations for 2H acceleration to the 4%-6% range, tied mainly to recovery in AsiaPac and growth in N. America and Europe. But we recognize that inconsistency and complexity challenges valuation. We also acknowledge TUP faces meaningful skepticism surrounding the direct model, benefits from emerging market inflation, and tactics used to motivate the sales force. We have been impressed with the responsiveness to evolve and pivot to drive greater sales productivity, resulting in better than modeled EPS, despite FX intensity. We are trimming our estimates to align with guidance, but are holding our multiple, which is already a 30% discount to the peer group. Our PT moves to $76 based on 14.4x FY16E EPS."

The firm lowered FY 2015 EPS from $4.66 to $4.50 and FY 2016 EPS from $5.33 to $5.25.

For an analyst ratings summary and ratings history on Tupperware Brands click here. For more ratings news on Tupperware Brands click here.

Shares of Tupperware Brands closed at $59.01 yesterday.

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