Analyst David Hayes from Jefferies maintained a Hold rating on Henkel AG & Co. KGaA (0IZC – Research Report) and keeping the price target at €91.00.
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David Hayes’s rating is based on several key considerations regarding Henkel AG & Co. KGaA’s recent performance and future outlook. The company’s fourth-quarter results were disappointing, with consumer volumes declining and adhesive sales growth not meeting expectations. This underperformance has led to a downward revision in the guidance for consumer organic sales, which is now anticipated to decrease by 2-4%.
Furthermore, there are concerns about the company’s promotional strategies, as higher price points for key brands are not being sustained, potentially undermining the effectiveness of their strategy. These factors contribute to a cautious outlook, suggesting that the stock may not experience significant upward movement in the near term, thus justifying the Hold rating.
According to TipRanks, Hayes is ranked #2942 out of 9377 analysts.