Pernod Ricard: Stifel lowers target price

(CercleFinance.com) - While maintaining its 'Hold' recommendation on Pernod Ricard shares, Stifel has lowered its target price for them from E160 to E152, believing that, like its peer Diageo, the group will probably take at least another year to get back on (a medium-term) track.


In a difficult sector, the unsurprising 2024 results came as a relief despite management's cautious quarterly targets, but the major catalyst for the share price was China's decision not to increase its duties on cognac - for now, the broker notes.

News of the anti-dumping investigation in China misled investors, leading to high price volatility. Cognac players are not out of the woods yet, and Pernod has warned of another difficult year in China, it continues.


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