Validea David Dreman Strategy Daily Upgrade Report: BRF SA (ADR) Rating Increases to 83% Amid Improving Fundamentals and Valuation

BRF SA (ADR) (BRFS) upgraded to 83% from 76% based on David Dreman's Contrarian Investor model. The company is a mid-cap value stock in the Fish/Livestock industry with improving fundamentals and valuation. The upgrade is due to strong interest in the stock. BRF S.A. is a multinational Brazilian company with a diverse portfolio of products, producing foods such as poultry, pork, and processed products. The company's segments include Brazil, LATAM, MENA, Africa, and Other Segments.

Brazil-based BRF SA (ADR) (BRFS) has seen a significant upgrade in its rating by David Dreman's Contrarian Investor model, moving from 76% to 83% Validea David Dreman Strategy Daily Upgrade Report - 9/12/2025^[2]. This upgrade is attributed to the stock's improving fundamentals and valuation, indicating strong interest from the investment strategy.

BRF S.A. is a multinational Brazilian company with a diverse portfolio of products, primarily focused on poultry, pork, and processed foods. The company's segments include Brazil, Latin America (LATAM), Middle East and North Africa (MENA), Africa, and Other Segments. The upgrade by Dreman's model comes amidst a period of regulatory approvals and strategic moves within the Brazilian meat industry.

Recently, Brazil's competition authority, the Administrative Council for Economic Defense (Cade), cleared Marfrig Global Foods SA's $2.6 billion acquisition of BRF SA Brazil’s Antitrust Regulator Clears Marfrig’s $2.6 Billion Takeover of BRF^[1]. This approval removes the last regulatory hurdle for the creation of one of the world's largest meat companies. The merger, first announced in May, has been met with support from BRF shareholders and has seen the resolution of concerns raised by competitor Minerva SA Marfrig-BRF merger approved “without restrictions” in Brazil^[3].

The upgrade by Dreman's model suggests that investors should closely monitor BRF SA (ADR) (BRFS) for potential growth opportunities. The company's diverse product portfolio and expanding market segments position it well for future growth. Additionally, the regulatory approval of the Marfrig-BRF merger could lead to further strategic moves and market consolidation in the Brazilian meat industry.