Carlsberg: Berenberg upgrades to 'buy'
(CercleFinance.com) - Shares in Danish brewer Carlsberg are up 1.
2% on Tuesday after Berenberg said the company will eventually gain from its defensive profile, with the broker upgrading the stock to "buy".
"The alcoholic beverages sector is highly exposed to the disruptions that the hospitality sector is suffering due to COVID-19," Berenberg analysts write in a note to clients.
"We assume that the peak of the disruption will be in calendar Q2 2020 with a gradual return to "a new normal" by calendar Q4 2020," they add.
Analysts say the most sensible option in this context is to selectively buy companies with defensive and geographically diversified businesses, which it believes Carlsberg has, as do Pernod Ricard, Heineken and Campari.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
2% on Tuesday after Berenberg said the company will eventually gain from its defensive profile, with the broker upgrading the stock to "buy".
"The alcoholic beverages sector is highly exposed to the disruptions that the hospitality sector is suffering due to COVID-19," Berenberg analysts write in a note to clients.
"We assume that the peak of the disruption will be in calendar Q2 2020 with a gradual return to "a new normal" by calendar Q4 2020," they add.
Analysts say the most sensible option in this context is to selectively buy companies with defensive and geographically diversified businesses, which it believes Carlsberg has, as do Pernod Ricard, Heineken and Campari.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.