Unilever: Berenberg upgrades stock, raises TP
(CercleFinance.com) - On Monday Berenberg upgraded its rating on Unilever shares to "buy" (from "hold"), increasing its target price for them from from 4,000 pence to 4,800 pence.
In a report, the broker mentions a group that once again is positioned to accelerate its growth, thanks to the implementation of a strategy that is now focused on the most dynamic segments of its market and better operational execution.
All of these choices should enable the consumer products group to return to organic growth at the higher end of its medium-term target range of 3% to 5%, the analyst predicts.
Its new organisational structure is set to promote higher growth, unlock cost efficiencies and improve portfolio flexibility, Berenberg adds.
Despite the improved outlook and the promise of a reversal of the company's long underperformance, Unilever's stock is still trading at a 15% discount to its major rivals, the analyst concludes.
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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.
In a report, the broker mentions a group that once again is positioned to accelerate its growth, thanks to the implementation of a strategy that is now focused on the most dynamic segments of its market and better operational execution.
All of these choices should enable the consumer products group to return to organic growth at the higher end of its medium-term target range of 3% to 5%, the analyst predicts.
Its new organisational structure is set to promote higher growth, unlock cost efficiencies and improve portfolio flexibility, Berenberg adds.
Despite the improved outlook and the promise of a reversal of the company's long underperformance, Unilever's stock is still trading at a 15% discount to its major rivals, the analyst concludes.
Copyright (c) 2022 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.