Unilever downgraded to Hold from Buy at Erste on weakening profit growth

As previously reported, Erste Group downgraded Unilever (UL) to Hold from Buy. Unilever’s sales will grow “slightly” in the 2025 financial year, but the profit growth rate in 2025 will be significantly lower than in the previous year, the analyst tells investors. Given the valuation of the stock is above the sector average and the weakening profit growth, “a sideways movement of the stock seems likely,” the analyst argues.