Jefferies analyst David Hayes maintained a Hold rating on Henkel AG & Co. KGaA today and set a price target of €78.00.
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David Hayes has given his Hold rating due to a combination of factors influencing Henkel AG & Co. KGaA’s current market position. The company’s recent quarterly results were slightly below expectations, particularly in the Consumer segment, which has seen a decline in volume despite pricing actions. This underperformance in the Consumer division could position Henkel as a mild underperformer compared to its peers.
Additionally, while the Adhesives segment performed in line with expectations, the overall sales outlook has been adjusted to the lower end of the previously retained range. Although the consensus for the fiscal year 2025 earnings per share estimates remains unchanged, there are concerns that the company’s pricing premiumization strategy may be at risk. This could potentially limit margin improvements in the coming years, specifically for 2026 and 2027.