Mizuho has reaffirmed its Outperform rating on Primo Brands Corporation (NYSE:PRMB). The firm lowered its target price for the stock from $28 to $24 on January 8. This adjustment is part of broader revisions across food production businesses aligned with a 2026 outlook.
Macroeconomic uncertainties and fundamental weakness across businesses were cited as primary factors. These issues are expected to continue affecting potential valuation recoveries.
Mizuho noted rising trends toward health consciousness that will prevail in the coming year. However, market fragmentation has led to intense competition among players, keeping valuations depressed. Despite the downward revision, Mizuho's estimates still indicate an upside of 33% at current levels.
On December 18, JPMorgan also lowered its price target for Primo Brands from $23 to $21. The firm maintained its Overweight rating based on its 2026 outlook.
JPMorgan forecasts some headwinds in 2026 for beverages, household, and personal care businesses. The firm believes that major issues, including tariffs and those linked to low-income and Hispanic consumers, have already occurred during 2025.
The firm expects strong support for consumption and business profitability. This support is anticipated to result from reduced tariffs and currency movements favoring multinationals. JPMorgan's forecasted price target leads to around 17% upside potential.
Primo Brands Corporation offers purified water and branded beverages. It is one of the largest players in North America. The company distributes products through an extensive network of more than 150,000 retail outlets. It also sells through e-commerce, direct-to-consumer, residential, and commercial channels.