Robert Moskow, an analyst from TD Cowen, maintained the Buy rating on Mondelez International (MDLZ – Research Report). The associated price target remains the same with $71.00.
Robert Moskow has given his Buy rating due to a combination of factors that highlight Mondelez International’s strong market position, particularly in Europe. The company benefits from a cultural attachment to chocolate in Europe, where consumers are more likely to include it in their regular grocery shopping. This cultural tendency results in stronger chocolate consumption elasticity in Europe compared to the U.S., which supports Mondelez’s pricing strategy.
Mondelez is planning significant price increases in Europe, with a 12% rise in 2025, which is expected to be more effective than Hershey’s more conservative approach in the U.S. The company’s ability to implement these price adjustments without significantly impacting demand is supported by data showing lower elasticity in Europe. This strategic pricing power and the cultural factors driving chocolate consumption in Europe provide a favorable outlook for Mondelez’s earnings growth, justifying the Buy rating.
Moskow covers the Consumer Defensive sector, focusing on stocks such as McCormick & Company, Vital Farms, and Freshpet. According to TipRanks, Moskow has an average return of 2.6% and a 48.27% success rate on recommended stocks.
In another report released on March 27, Citi also maintained a Buy rating on the stock with a $75.00 price target.