Reckitt Benckiser: Jefferies upgrades stock

(CercleFinance.com) - Jefferies has upgraded its rating on Reckitt Benckiser shares from "underperform" to "hold", while nudging up its target price for them from 5,600p to 5,620p, after the market's negative reaction to its quarterly results, which "reflects, in our view, weak volumes and an underlying trajectory that remains opaque".


The broker also points to a difficult comparison base in nutrition, both for sales and earnings, "All in the context of a leadership interregnum, amidst a turnaround project that is only half-complete".

Nevertheless, Jefferies believes that the UK household product group's stock is close to its trough relative valuation, and that the consensus for 2023 "feels suitably cautious".

The share is up over 2% this afternoon.


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