Beiersdorf: Deutsche Bank to sell

(CercleFinance.com) - Deutsche Bank announced on Wednesday that it had lowered its recommendation on Beiersdorf shares from 'hold' to 'sell', with a price target reduced from 120 to 105 euros.


In a research note, the analyst fears that certain headwinds could disrupt the German FMCG group's desired 'premiumization' strategy, particularly for its Nivea brand.

The intermediary also points out that the beauty market seems to be slowing down, that online searches for the company's brands are less frequent, and that the scenario of a recovery in China is receding.

For 2025, Deutsche Bank says it expects only 4% growth for the Group's consumer staples business, against a consensus of 6%, with margin improvement limited to 0.2 percentage points, rather than 0.4 points as forecast by the market.

Given that Beiersdorf shares are currently trading at a premium of around 80% to the sector, compared with a historical average of 55%, the professional warns that any slowdown in growth will put pressure on the valuation multiples on which the share is trading.

Copyright (c) 2025 CercleFinance.com. All rights reserved.
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.