JPMorgan maintains IMCD stock with EUR168 target

Published 27/03/2025, 07:52
JPMorgan maintains IMCD stock with EUR168 target

On Thursday, JPMorgan reiterated its Overweight rating on IMCD NV (AS:IMCD:NA) shares, maintaining a price target of EUR168.00. The decision comes as the company’s stock experienced a recent pullback, which analysts at JPMorgan view as an opportunity for investors. The firm has added IMCD to its Analyst Focus List, highlighting the company’s potential as a strong investment choice within the sector.

IMCD’s valuation, based on 2025/26 estimated EV/EBITDA, has decreased to 14 times for 2025 and 13 times for 2026. This is lower than the historical median of 16.8 times. Additionally, the free cash flow (FCF) yield is approximately 5%, which is favorable compared to the long-term median of 4%. These metrics suggest that IMCD’s shares are currently undervalued, presenting what JPMorgan considers an attractive entry point for investors.

The firm believes that IMCD’s robust strategy for mergers and acquisitions could contribute to a high single-digit percentage increase in the company’s adjusted EBITA (earnings before interest, taxes, and amortization) by the fiscal year 2026. This would surpass the current Bloomberg consensus for the company’s financial performance.

Moreover, JPMorgan anticipates a smaller yet positive impact on IMCD’s adjusted earnings per share (EPS). The company’s strong M&A capabilities are expected to play a crucial role in this optimistic outlook.

JPMorgan’s analysis suggests that IMCD is well-positioned to continue its growth trajectory and could offer significant returns to shareholders. The Overweight rating indicates the firm’s confidence in the company’s future performance and its potential to outperform the broader market.

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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