Trump/Putin summit, UnitedHealth and Japan’s GDP - what’s moving markets
On Monday, Deutsche Bank (ETR:DBKGn) analysts lowered the price target for Barry Callebaut AG stock to CHF1,000 from CHF1,400, while keeping a Buy rating. The adjustment comes in response to recent foreign exchange impacts and updates following the company’s latest financial results.
Analysts highlighted several challenges facing Barry Callebaut, including declining volumes and high financing costs. These factors, along with an increased tax rate, have led to a reduction in the forecasted earnings per share for fiscal years 2025 and 2026 by 42% and 17%, respectively. The revised expectations place the forecasts 13% and 10% below Bloomberg consensus for the respective years.
The report also introduced new geo-location data, which tracks mobile activity at Barry Callebaut’s manufacturing sites. This data covers Western Europe and the United States, regions that together account for approximately 70% of global chocolate volumes. The data indicates a return to year-on-year growth at a weighted aggregate level, with Western Europe showing stronger performance compared to the US.
Despite the challenges, the analysts see potential for improved volume growth, supported by the positive geo-location data. They maintain a positive outlook on Barry Callebaut’s long-term prospects, as reflected in the continued Buy rating.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.