Flowers Foods, Inc. (NYSE:FLO) is included among the 15 Overlooked Dividend Stocks to Buy Right Now.
Photo by
Vitaly Taranov on
Unsplash
On November 10, Deutsche Bank cut its price target for Flowers Foods, Inc. (NYSE:FLO) from $15 to $13 while maintaining a Hold rating on the stock, as reported by The Fly.
The company posted mixed results for the third quarter of 2025. Management noted that gross margin declined by 190 basis points, while EBITDA margin fell 160 basis points, despite some relief from lower ingredient costs as a percentage of sales.
Flowers Foods, Inc. (NYSE:FLO)’s quarterly revenue came in at $1.23 billion, a 3% year-over-year increase but slightly below analysts’ expectations by more than $3 million. The top-line growth was mainly supported by the Simple Mills acquisition, which helped offset declines in pricing, mix, and volume. Net income dropped 39.2% to $39.5 million, or 3.2% of sales, reflecting a 230-basis-point decrease, largely attributed to a tough consumer environment and higher interest expenses.
For fiscal year 2025, Flowers Foods, Inc. (NYSE:FLO) projects net sales between $5.254 billion and $5.306 billion, representing growth of 2.9% to 4% from the previous year. The company expects adjusted EBITDA to range from $515 million to $532 million, compared to earlier guidance of $512 million to $538 million.
Based in Thomasville, Georgia, Flowers Foods, Inc. (NYSE:FLO) produces and markets packaged bakery products across the United States.
While we acknowledge the potential of FLO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 15 Best Dividend Growth Stocks to Buy Now and 15 Best DRIP Stocks to Own Right Now.
Disclosure: None.