Unilever: Jefferies maintains underperform rating

(CercleFinance.com) - While raising its target price from 4,000 pence to 4,100 pence, Jefferies maintains its 'underperform' rating on Unilever shares, following a 26% YTD rise in the share price which credits the new management with making a significant and rapid difference.


The broker takes issue with this change in perception, including the marked rebound in gross and operating margins posted in H1 2024, and the associated increase in targets for FY 2024.

Jefferies believes that now that these positive elements have revived profitability expectations, the stock requires improvements in trend or sales growth guidance, which it feels are less reliable given current evidence.


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