UBS has maintained a 'Neutral' rating on Nestlé, with a price target of 91 francs, following discussions at an analyst conference about quarterly results.
Analyst Guillaume Delmas expressed concerns about a projected decline in the operating margin for 2025, which is expected to impact consensus earnings estimates for the company. Nestlé has not reaffirmed its sales growth forecast from its own resources, but it aims to exceed industry growth.
The revised outlook for 2024, combined with the anticipated margin decline, indicates a challenging future for the food manufacturer.