Pernod-Ricard: Barclays still selling, adjusts target price
(CercleFinance.com) - Barclays reaffirms its 'Underweight' recommendation on Pernod-Ricard, trimming its target price from E119 to E118, considering the optimism around a recovery in China to be 'premature'.
Concerns in China and the US are impacting our ability to be more constructive on the stock, especially as we consider China's weakness to be structural due to low demographics, it explains.
In the absence of a significant improvement in performance in these two markets, we find it hard to see how the company will generate significant margin expansion, the broker adds.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
Concerns in China and the US are impacting our ability to be more constructive on the stock, especially as we consider China's weakness to be structural due to low demographics, it explains.
In the absence of a significant improvement in performance in these two markets, we find it hard to see how the company will generate significant margin expansion, the broker adds.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.