JPMorgan Sees Downside In This Food Products Giant - Read Why

• JPMorgan analyst Ken Goldman downgraded Kellogg Co  (NYSE:K) to Underweight from Neutral with a price target of $57, down from $64, implying a 10.38% downside.
• The analyst thinks the company's 2022 guidance for about $4.12 to $4.17 in earnings per share, including currency, is aggressive, and he models for $3.90.
• Kellogg's enterprise value to EBITDA valuation is a "bit elevated" given its "limited growth potential and below-average margins," Goldman said.
• The analyst sees a 9% downside from here to the end of the year for the shares.
• Price Action: K shares are trading lower by 1.73% at $62.48 in premarket on the last check Friday.