Consumer products maker Tupperware Brands Corporation( TUP
The firm upgraded TUP from "Neutral" to "Buy" with a new $60 price target. That target implies a 31% upside to the stock's Thursday closing price of $45.93.
Goldman also noted it expects the company to significantly raise its dividend payout from $1 per share on an annualized basis all the way up to $2.80 per share. At current price levels, that new payout would imply a massive 6% dividend yield.
Tupperware shares rose 61 cents, or +1.4%, in premarket trading Friday.
The Bottom Line
We had removed shares of Tupperware( TUP ) from our recommended list back on Nov.19, when the stock was trading at $48.30. The company has a 2.18% dividend yield, based on last night's closing stock price of $45.93. The stock has technical support in the $42 price area. If the shares can firm up, we see overhead resistance around the $48-$49 price levels. We would remain on the sidelines for now.
Tupperware Brands Corporation( TUP ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.
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