BoA Cuts American Italian to 'Buy'

American Italian Pasta (PLB

) Banc of America downgraded to buy from strong buy.

Analyst William Leach says his downgrade was due to recent price strength. He says shares have outperformed almost 40% over the past six months, almost 30% year to date. He notes at current prices shares now are valued at 23 times his 2002 estimate, a 14% premium to S&P, and a 19% premium to its food group. Leach maintains his $2.13 2002 (Sept.) earnings per share estimate, and his $2.50 2003 estimate. He has a $56 target.