In a report released today, Benjamin Kohnke from Stifel Nicolaus maintained a Hold rating on HelloFresh SE (HFG – Research Report), with a price target of €8.00.
Benjamin Kohnke’s rating is based on a combination of factors that reflect both positive and negative aspects of HelloFresh SE’s current financial outlook. The company’s shift towards a focus on profitability has resulted in a disappointing short-term revenue growth, which was unexpected in its magnitude. This shift is evident in the FY25E outlook, where the anticipated AEBITDA slightly surpasses consensus, yet the revenue growth for product segments falls short of expectations.
Moreover, the anticipated growth in the Ready-to-Eat (RTE) segment is significantly lower than previous years, causing concern about the company’s future performance. While there is potential for efficiency gains and cost savings, more detailed information is needed to accurately assess these opportunities. Until more clarity is provided, particularly regarding the mid-term growth trajectory and cost-saving strategies, Kohnke maintains a Hold rating, reflecting caution amid the current uncertainties in HelloFresh’s financial projections.
In another report released on March 12, Barclays also maintained a Hold rating on the stock with a €11.10 price target.
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