DSM: UBS maintains buy rating, trims target price

(CercleFinance.com) - UBS maintains its "buy" rating on DSM shares, while reducing its target price for them to 145 euros (from 155 euros), a new target price that leaves the Dutch chemicals group's shares with upside potential of 27%.


"Valuation falls to 12x EBITDA for FY23E post 3Q setback, a 25% discount to consumer chems peers," the broker summarises.

While it acknowledges that "old niggles resurface", UBS mentions the Firmenich merger, which is expected to be completed in Q1 2023, and which it believes will improve the group's risk profile.


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