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BofA analyst Peter Galbo initiated coverage of Sovos Brands with a Buy rating and $19 price target. Galbo expects sales and earnings growth for Sovos, which owns premium brands such as Rao's, Noosa and Michael Angelo's, to be above peer average driven largely by Rao's expanding household penetration, the analyst tells investors in a research note.

Telsey Advisory analyst Dana Telsey initiated coverage of Sovos Brands with an Outperform rating and $17 price target.

Cowen analyst Brian Holland initiated coverage of Sovos Brands with an Outperform rating and $20 price target. Sovos' Rao's brand was the fastest growing center store food brand of scale in the U.S. from 2018 through 2020, but awareness and household penetration still lag legacy competitors by "a wide margin," said Holland, who has a "bullish view of that brand's runway." His model assumes Rao's accounts for 75% of Sovos' total net sales growth over the next five years, but "on whole" he likes Sovos' differentiated and expandable brands, the analyst added.

As previously reported, Loop Capital analyst Alton Stump initiated coverage of Sovos Brands with a Buy rating and $20 price target. The company's acquisition-driven model of bringing brands onto a bigger platform with greater distribution and closer relationships with major food retail customers is "compelling" as it has a proven track record within the domestic packaged foods category, the analyst tells investors in a research note. There should be no shortage of additional acquisition candidates for Sovos going forward given the fragmented supplier base, Stump adds.

William Blair analyst Jon Andersen initiated coverage of Sovos Brands with an Outperform rating and no price target. The company's current addressable market is approximately $26B and consists of "large, disruptable categories" such as pasta sauce, yogurt, authentic frozen entrees, and pancake and baking mixes, Andersen tells investors in a research note. Looking forward, the potential addressable market based on future categories is $53B, says the analyst.

JPMorgan analyst Ken Goldman initiated coverage of Sovos Brands with an Overweight rating and $17 price target, implying 20% upside. He models 14% annual revenue growth for the company through 2023, "well above the industry average." This growth outlook justifies a premium valuation for the stock, Goldman tells investors in a research note.

Loop Capital analyst Alton Stump initiated coverage of Sovos Brands with a Buy rating and $20 price target.

Stifel analyst Christopher Growe initiated coverage of Sovos Brands with a Buy rating and $17 price target. He views the current valuation as attractive in relation to its growth, as Growe estimates 25% revenue growth and 20% EBITDA growth in 2021 followed by 8% sales growth and 14% EBITDA growth in 2022 with "a roughly similar rate in 2023," he tells investors. Sovos' strong, fast growing brands can sustain high single digit sales growth for "the foreseeable future," added the analyst.

Cowen analyst Brian Holland initiated coverage of Sovos Brands with an Outperform rating and $20 price target.