Chocoladefabriken Lindt & Spruengli AG (LISN) AI Stock Analysis

• Market Cap: CHF24.70B
• Dividend Yield: 1.29%
• Average Volume (3M): 97.00
• Price to Earnings (P/E): 36.6
• Beta (1Y): 0.47
• Revenue Growth: 7.37%
• EPS Growth: -5.49%
• Country: CH
• Employees: 14,973
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Confectioners
• EPS (TTM): 2331.38
• Shares Outstanding: 133,905
• 10 Day Avg. Volume: 93
• 30 Day Avg. Volume: 97
• PEG Ratio: 4.33
• Price to Book (P/B): 5.37
• Price to Sales (P/S): 4.50
• P/FCF Ratio: 107.76
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: CHF115,404.00
• Price Target Upside: 6.46% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5
• EPS Forecast (FY): 3,252.3
• Revenue Forecast (FY): CHF6.05B

• Rating: 62 Neutral
• Price Target: CHF118,084 ▲(8.93% Upside)
• Action: Downgraded Date: 03/12/26
• Date: Action: Downgraded 03/12/26

The score is supported by strong underlying profitability and a solid balance sheet, plus a generally constructive outlook from the latest earnings call. It is held back by notably weaker cash generation, a clearly negative technical trend, and a relatively expensive valuation with only a modest dividend yield.

Positive Factors

Profitability & Revenue Trends

Consistent revenue growth since 2020 and stable net margins (~12%) signal durable consumer demand and pricing power in the premium segment. This underpins sustainable operating profitability, supports reinvestment in product innovation and retail expansion, and helps preserve long-term cash generation potential.

Conservative Balance Sheet and ROE

A low debt-to-equity ratio and healthy ROE provide financial flexibility typical for resilient consumer-staples firms. This conservatism enables funding for capex, store rollouts, and strategic initiatives while absorbing periodic cash-flow volatility, preserving the company's long-term investment and capital-return optionality.

Brand Strength and Retail Expansion

Rapid retail expansion and strong retail growth reflect brand strength and direct-channel control, enhancing margins and customer engagement. Combined with recognition as the world's most valuable chocolate brand and successful new products, this supports sustained premium positioning and structural growth across regions over multiple years.

Negative Factors

Weakened Cash Conversion

A large year-over-year step-down in operating and free cash flow signals inconsistency in cash conversion, likely from working-capital swings and inventory build. Persistent volatility in cash generation can constrain funding for buybacks, dividends and capex, and raises execution risk if adverse trends persist.

Rising Net Debt

A meaningful increase in net debt reduces balance-sheet headroom and raises financial leverage sensitivity should cash conversion remain volatile. Higher debt linked to buybacks or working-capital builds limits maneuverability for opportunistic investment or weathering commodity-driven earnings pressure over the medium term.

Commodity Cost Pressure (Cocoa)

Material-cost inflation in cocoa is a structural input risk for chocolate makers. Sustained higher cocoa costs compress margins, force inventory revaluation and working-capital buildup, and compel more frequent price adjustments—challenging margin stability and volume mix in the premium segment if costs cannot be fully passed on.

Chocoladefabriken Lindt & Spruengli AG Business Overview & Revenue Model

Company Description

Chocoladefabriken Lindt & Sprüngli AG, together with its subsidiaries, engages in the manufacture and sale of chocolate products worldwide. The company sells its products under the Lindt, Ghirardelli, Russell Stover, Whitman's, Caffarel, Hofbauer, Küfferle, and Pangburn's brands. It serves customers through a network of distributors, as well as through approximately 500 own shops. Chocoladefabriken Lindt & Sprüngli AG was founded in 1845 and is headquartered in Kilchberg, Switzerland.

How the Company Makes Money

Lindt & Spruengli generates revenue primarily through the sale of its high-quality chocolate products across various channels, including retail, online, and wholesale. The company has a diversified revenue model that includes direct sales through its own boutiques and e-commerce platforms, as well as distribution through supermarkets, specialty stores, and international distributors. Key revenue streams include seasonal products during holidays, gifting items, and premium chocolate collections. Lindt also benefits from strong brand loyalty and recognition, which allows for premium pricing. Partnerships with retailers and collaborations for co-branded products further enhance sales. Additionally, the company invests in marketing and innovation to expand its product line and reach new markets, contributing to its overall earnings.

Chocoladefabriken Lindt & Spruengli AG Financial Statement Overview

Summary

Strong and consistent profitability with steady revenue growth and a conservatively levered balance sheet. The main drag is weakened and volatile cash conversion, with a sharp 2025 drop in operating and free cash flow versus prior year.

Income Statement

Revenue has grown steadily since 2020, with 2025 revenue up ~4% year over year, showing durable demand and pricing power. Profitability is strong and consistent, with net margin holding around ~12% in 2024–2025 and operating profitability improving versus 2020 levels. The main watch-out is margin volatility across years (notably swings in gross margin), suggesting periodic cost/inventory or mix impacts even though bottom-line performance remains resilient.

Balance Sheet

Leverage looks conservative for a consumer staples business: debt-to-equity is ~0.36 in 2025 and has remained broadly stable over time, providing balance-sheet flexibility. Shareholders’ equity is substantial and return on equity is healthy (~14.7% in 2025), indicating solid capital productivity. A mild negative is that total debt has trended higher since 2023, which slightly reduces balance-sheet headroom if cash generation remains choppy.

Cash Flow

Cash generation weakened materially in 2025: operating cash flow fell to ~CHF 520M from ~CHF 1.18B in 2024, and free cash flow dropped to ~CHF 247M (down ~52% year over year). Free cash flow covered less than half of net income in 2025, indicating weaker cash conversion versus prior years. Positively, the company has demonstrated the ability to generate strong free cash flow in other periods (e.g., 2024), but the 2025 step-down raises questions around working-capital swings and consistency.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.92B	5.47B	5.20B	4.97B	4.59B
Gross Profit	2.29B	3.56B	3.50B	2.02B	1.81B
EBITDA	1.27B	1.19B	1.10B	1.02B	918.30M
Net Income	727.20M	672.30M	671.40M	569.70M	490.50M
Balance Sheet
Total Assets	9.29B	9.16B	7.86B	8.09B	9.08B
Cash, Cash Equivalents and Short-Term Investments	668.80M	931.90M	462.50M	864.90M	1.19B
Total Debt	1.76B	1.66B	1.41B	1.44B	1.48B
Total Liabilities	4.33B	4.32B	3.60B	3.69B	3.85B
Stockholders Equity	4.96B	4.84B	4.26B	4.40B	5.22B
Cash Flow
Free Cash Flow	247.20M	868.00M	476.80M	526.30M	586.20M
Operating Cash Flow	520.40M	1.18B	778.60M	756.00M	826.80M
Investing Cash Flow	-331.70M	-312.00M	-301.00M	21.80M	-112.90M
Financing Cash Flow	-512.80M	-330.20M	-855.50M	-835.50M	-624.60M

Chocoladefabriken Lindt & Spruengli AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 108400.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:LISN, the sentiment is Negative. The current price of 108400 is below the 20-day moving average (MA) of 119300.00, below the 50-day MA of 118576.00, and below the 200-day MA of 122174.00, indicating a bearish trend. The MACD of -3305.81 indicates Positive momentum. The RSI at 30.87 is Neutral, neither overbought nor oversold. The STOCH value of 4.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CH:LISN.

Chocoladefabriken Lindt & Spruengli AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
LISN	62 Neutral	CHF24.70B	36.63	―	1.29%	7.37%	-5.49%
BARN	54 Neutral	CHF7.15B	31.12	―	2.31%	42.39%	-2.13%