Compass Group, a British catering giant, has received a reaffirmed 'buy' recommendation from UBS. UBS has increased its target price for Compass Group shares from 2,475 pence to 3,090 pence, suggesting a potential upside of 15%. Market speculation surrounds the recovery of margins to pre-Covid levels of 7.5%.
UBS's analysis indicates that long-term margins could reach 8%, reflecting optimism about the company's future performance. Investors are advised to consider this updated target when making their decisions.