Reckitt Benckiser: Jefferies downgrades stock

(CercleFinance.com) - Jefferies has downgraded its rating on the Reckitt Benckiser stock from "hold" to "underperform," having cut its corresponding target price from 6800 pence to 5000 pence, a week after the announcement the forthcoming departure of its CEO Kapoor.


"The surprise retirement of CEO Kapoor crystallises long-brewing anxieties," said the broker, which does not expect any quick fixes and sees "a material risk of a margin re-set under a new CEO."

"With a materially below consensus view on FY19, and a weak cold and flu season in the US a potential negative catalyst near term," Jefferies is downgrading its rating on the stock.


Copyright (c) 2019 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.