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Ratings

Hold Rating on Kemira Oyj Amid Stable Financial Outlook and Limited Upside

Analyst Isha Sharma of Stifel Nicolaus maintained a Hold rating on Kemira Oyj (0MGGResearch Report), with a price target of €22.00.

Isha Sharma has given his Hold rating due to a combination of factors surrounding Kemira Oyj’s recent financial performance and future expectations. Although the company’s guidance for FY25 EBITDA aligns with consensus, indicating stability, the Q4 results showed a miss in EBITDA due to unforeseen maintenance shutdowns and fixed costs. This miss was primarily attributed to the Industry & Water segment, which slightly underperformed.

Despite some challenges, Kemira demonstrated resilience with a proposed dividend increase and a stable financial outlook. The company’s net debt is expected to decrease, providing opportunities for potential future investments. However, the neutral share price reaction and stable input costs suggest limited immediate upside, justifying a Hold rating as the company navigates through a period of expected moderate growth and market recovery.

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