(MENAFN- ProactiveInvestors - UK) Broker Investec still rates FTSE 250 group Premier Foods (LON:PFD) a 'buy' despites its warning on sales growth last week.
Analyst Nicola Mallard said she did not believe there was anything more sinister behind last week's update than the weather.
Shares plunged 14% on Wednesday (Oct 12) as the firm said the unseasonably warm weather in September meant few people bought groceries like gravy and puddings.
The group's grocery division saw a 9.5% slide in sales in the second quarter.
And the group as a whole said it will now deliver a sales shortfall in the first half of negative 1.8% and flagged it will not reach its 2-4% guidance range for revenue growth in full year 2017.
Investec rates shares a 'buy' and targets 55p for the shares against a previous target of 57p.
Premier shares today eased 1.04% to stand at 47.75p each.
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