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Research Alert: CFRA Keeps Hold Opinion On Shares Of Mondelez International

作者

-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

Our 12-month target price of $63, raised $1, reflects a 19x multiple of projected 2027 EPS, in line with MDLZ's historical forward P/E average. We raise our 2026 EPS estimate by $0.06 to $3.08, but cut 2027's by $0.11 to $3.32. We continue to see headwinds related to chocolate and biscuits divisions, though favorable forex has been helping to a degree. MDLZ highlighted plans to stimulate growth with more promotional activity, which could boost revenues (we see an acceleration in revenues in 2027), but may come with the trade-off of narrower margins. We note that cost-saving efforts can also contribute to staving off some of the margin pressure. MDLZ is largely hedged on its cocoa input costs for 2026 but less so in 2027. Thus, if the substantial rise in cocoa pricing in 2025 does not reemerge, it should help the bottom line in 2027 as cost pressures should ease. Share buybacks have also contributed to EPS, and we note that Q1 2026 share count was down 1.5% from one year earlier.

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