Analyst David Hayes of Jefferies maintained a Hold rating on Nestlé SA, retaining the price target of CHF77.00.
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David Hayes has given his Hold rating due to a combination of factors influencing Nestlé SA’s current and future performance. The company has been making steady progress in addressing key concerns, but the resolution of several longstanding issues will require more time. While Nestlé anticipates a rebound in organic growth and market share, the expected improvements in margins and free cash flow are projected to take longer to materialize.
Additionally, the company’s confidence in achieving its operational margin targets is tempered by the need to balance growth and cost management. Although there are positive developments, such as a major innovation program and improved competitiveness, these factors are not yet sufficient to warrant a more optimistic rating. Consequently, Hayes maintains a cautious outlook, resulting in a Hold recommendation for Nestlé SA.
In another report released today, Deutsche Bank also maintained a Hold rating on the stock with a CHF81.00 price target.
Based on the recent corporate insider activity of 10 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of NSRGF in relation to earlier this year.