A “powerfully convincing” class-action lawsuit has led a New York-based analyst to change Tyson Foods Inc.’s stock rating to “sell” amid allegations of a broiler price-fixing conspiracy.
Springdale-based Tyson Foods was named as a defendant in the suit that was filed in U.S. District Court for the Northern District of Illinois on Sept. 2.
On Friday (Oct. 7), Pivotal Research Group slashed Tyson Foods’ target price to $40, from $100, and shifted its rating to "sell" from "buy."
"We've been a huge bull on Tyson; this downgrade does not happen without considerable thought," according to a report by Timothy S. Ramey, chartered financial analyst, for Pivotal.
“The complaint alleges that Tyson, together with Koch Foods and multiple other players in the broiler... [ MORE ]