Deutsche Bank downgraded Mondelez (MDLZ) to Hold from Buy with a price target of $67, down from $78. The firm cites the recent run-up in cocoa prices, a now-stronger dollar, and what it expects will be lingering capital allocation questions despite the incremental buyback authorization announcement for the downgrade. Even if the Hershey (HSY) dal overhang fades, the fact that Mondelez has reportedly made such outreach “alters the risk profile of the company’s future capital allocation,” the analyst tells investors in a research note.
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