CFRA cuts Symrise stock rating to Buy, lowers target to EUR115

Published 31/01/2025, 17:06
CFRA cuts Symrise stock rating to Buy, lowers target to EUR115

Looking ahead, the company has maintained its target for annual organic growth at approximately 7% and forecasts an EBITDA margin around 21% for 2025. However, CFRA’s decision to lower their rating comes as the 2025 margin guidance did not meet their initial expectations.

The analyst also provided updated earnings per share (EPS) estimates for Symrise, setting the 2025 and 2026 forecasts at EUR3.70 and EUR4.20, respectively. These figures represent a slight decrease from previous estimates, further contributing to the revised rating and price target. Based on current market data, the stock appears fairly valued according to InvestingPro’s Fair Value model, with a beta of 0.53 indicating lower volatility compared to the broader market. Based on current market data, the stock appears fairly valued according to InvestingPro’s Fair Value model, with a beta of 0.53 indicating lower volatility compared to the broader market.

Looking ahead, the company has maintained its target for annual organic growth at approximately 7% and forecasts an EBITDA margin around 21% for 2025. However, CFRA’s decision to lower their rating comes as the 2025 margin guidance did not meet their initial expectations.

The analyst also provided updated earnings per share (EPS) estimates for Symrise, setting the 2025 and 2026 forecasts at EUR3.70 and EUR4.20, respectively. These figures represent a slight decrease from previous estimates, further contributing to the revised rating and price target. Based on current market data, the stock appears fairly valued according to InvestingPro’s Fair Value model, with a beta of 0.53 indicating lower volatility compared to the broader market.

Symrise reported robust financial results for 2024, with organic sales growth of 8.7%, which falls within the high single-digit range anticipated by CFRA. This growth was driven by contributions from both of its operational segments: Scent & Care and Taste, Nutrition & Health. The company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) for 2024 amounted to EUR1,033 million, marking an increase from EUR903 million in 2023. Furthermore, Symrise enjoyed an improvement in its EBITDA margin, which expanded by 160 basis points to reach 20.7%.

Looking ahead, the company has maintained its target for annual organic growth at approximately 7% and forecasts an EBITDA margin around 21% for 2025. However, CFRA’s decision to lower their rating comes as the 2025 margin guidance did not meet their initial expectations.

The analyst also provided updated earnings per share (EPS) estimates for Symrise, setting the 2025 and 2026 forecasts at EUR3.70 and EUR4.20, respectively. These figures represent a slight decrease from previous estimates, further contributing to the revised rating and price target.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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