Henkel downgraded to Hold from Buy at Jefferies

Jefferies analyst David Hayes downgraded Henkel to Hold from Buy with a price target of EUR 88, down from EUR 92. The rate of margin recovery following years of change in Henkel Consumer Business – HCB – segment is better understood following the company’s operating margin guidance increases this year, though this places focus on Henkel’s sales growth beats to drive re-rating and upgrades, the analyst tells investors in a research note. Jefferies adds however that while it sees evidence of pricing pressures in both HCB and Adhesive Technologies segment, it also notes signs of “only modest” volume momentum.