Lotus Bakeries stock upgraded to Buy at BofA on expected growth rebound

Published 28/08/2025, 08:54
Lotus Bakeries stock upgraded to Buy at BofA on expected growth rebound

Investing.com - BofA Securities upgraded Lotus Bakeries (LOTB:BB) from Neutral to Buy with a price target of EUR10,500, representing 32% upside potential.

The Belgian food company’s stock has declined 27% year-to-date, primarily due to compressing multiples linked to an expected growth slowdown in fiscal year 2025 caused by Biscoff capacity constraints.

BofA Securities added Lotus Bakeries to its SMID cap Europe Best Ideas list, citing first half of 2026 as a likely turning point for growth momentum when the company’s Biscoff Thailand plant begins production, potentially boosting supply by 16%.

The firm expects partnerships with Mondelez in Europe Chocolate and India Biscuits, along with Froneri in Europe Ice Cream with subsequent global rollout, to fully contribute to growth in 2026.

Lotus Bakeries’ Natural Food International brands, including Nakd, Trek, and BEAR, continue global expansion supported by strong organic growth exceeding 30% in the first half of 2025.

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