Stifel Nicolaus analyst Andreas Heine has maintained their neutral stance on 0P6S stock, giving a Hold rating on February 25.
Andreas Heine has given his Hold rating due to a combination of factors impacting Bayer’s financial performance and outlook. The company’s Q4 EBITDA showed a significant year-over-year decline, which was offset by a release of provisions rather than operational improvements, indicating potential underlying weaknesses. Additionally, while Bayer’s net debt has decreased, its net debt to EBITDA ratio is projected to increase in the coming years, suggesting financial leverage concerns.
In the Crop Science division, Bayer’s performance was weaker compared to peers, with a notable decline in glyphosate sales. The Pharma division showed mixed results, with some products like Xarelto facing challenges due to generic competition. Although Consumer Health maintained margins, the volume growth was negative, highlighting the need for improvement. These mixed results and uncertainties in various segments contribute to the Hold rating, as they suggest limited immediate upside potential for the stock.
In another report released on February 25, UBS also maintained a Hold rating on the stock with a €22.00 price target.