Stifel Nicolaus analyst Rogerio Fujimori maintained a Hold rating on Henkel AG & Co. KGaA (0IZC – Research Report) yesterday and set a price target of €90.00.
Rogerio Fujimori has given his Hold rating due to a combination of factors impacting Henkel AG & Co. KGaA’s performance. The company experienced a weaker-than-expected sales momentum in the fourth quarter of 2024, with organic sales growth falling short of market expectations. Both the Adhesives and Consumer Brands divisions underperformed relative to consensus estimates, contributing to the cautious outlook.
Despite these challenges, Henkel’s profitability for the fiscal year 2024 was in line with expectations, and the company announced a new share buyback program, which provides some positive sentiment. The initial outlook for 2025 suggests that sales and earnings growth will be stronger in the second half of the year, although the sales guidance midpoint is slightly below consensus. Overall, Henkel’s portfolio offers medium-term growth potential, but the current mixed signals warrant a Hold rating until there is more clarity on sales momentum and volume recovery in the Consumer Brands division.
In another report released yesterday, Bernstein also maintained a Hold rating on the stock with a €94.92 price target.
0IZC’s price has also changed slightly for the past six months – from EUR80.428 to EUR79.124, which is a -1.62% drop .
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