Vanessa Jeffriess, an analyst from Jefferies, maintained the Hold rating on Synthomer. The associated price target is p76.00.
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Vanessa Jeffriess’s rating is based on a combination of factors, primarily focusing on Synthomer’s current market conditions and future outlook. The company is experiencing weak demand, which is consistent with industry trends, and this has influenced the decision to maintain a Hold rating. Despite the lack of market share losses or pricing issues, the demand weakness is a significant concern.
Furthermore, while there is some progress in self-help initiatives and potential divestments that could aid in refinancing, the timing and impact of these actions remain uncertain. The EBITDA expectations for FY25 and FY26 are anticipated to decrease slightly, aligning with broader sector trends. Although there are some positive signs, such as investment in capacity that might enhance margins, the overall lack of a clear recovery path justifies the Hold recommendation.
In another report released yesterday, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a p54.00 price target.
SYNT’s price has also changed moderately for the past six months – from p84.800 to p57.000, which is a -32.78% drop .