2023-02-16 16:34:25 CL Colgate-Palmolive
Procter & Gamble
02/16/23 02/1616:34 02/16/2316:34 | Citi launches beverage, personal space with six buys, two sellsCiti analyst Filippo Falorni initiated coverage of 16 companies in the U.S. beverages and household products and personal care space. After a year of "outsized industry-wide price realization with limited elasticity impacts," structural sales growth differences in the group will become more evident with companies offering true pricing power and attractive country/category exposures "re-emerging as relative winners," the analyst tells investors in a research note. City says that while group valuations remain elevated after large outperformance in 2022, there are "compelling single-name opportunities in the space." It tells investors to focus on "high-quality names" that have de-rated on near-term temporary concerns, offer a gross margin improvement story with declining commodity prices and the ability to retain prior pricing. The firm's top Buy-rated picks are Colgate-Palmolive (CL), Procter & Gamble (PG), Constellation Brands (STZ), Coca-Cola (KO), Monster Beverage (MNST) and Estee Lauder (EL). Citi's Sell-rated names are Kimberly-Clark (KMB) and Brown-Forman (BF.B). The firm put Neutral ratings on PepsiCo (PEP), Church & Dwight (CHD), Keurig Dr Pepper (KDP), Coty (COTY), Boston Beer (SAM), Clorox (CLX), Molson Coors (TAP) and Newell Brands (NWL). From a pair-trade standpoint, it recommends to overweight Procter & Gamble and underweight Kimberly-Clark, as well as to overweight Colgate-Palmolive, underweight Kimberly-Clark. Colgate-Palmolive
Procter & Gamble
Constellation Brands
Coca-Cola
Monster Beverage
Estee Lauder
Kimberly-Clark
Brown-Forman
PepsiCo
Church & Dwight
Keurig Dr Pepper
Coty
Boston Beer
Molson Coors
Newell Brands
Clorox
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Coinbase upgraded to Overweight from Neutral at Atlantic Equities »
04:51 05/30/23 05/3004:51 05/30/2304:51
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Orange resumed with a Neutral at Citi »
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Alliant Energy upgraded to Outperform from Market Perform at BMO Capital »
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Swire Properties downgraded to Hold from Buy at Jefferies »
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Hang Lung Properties upgraded to Buy from Hold at Jefferies »
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Kubota downgraded to Hold from Buy at Jefferies »
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Babcock assumed with a Buy at Jefferies »
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Siltronic upgraded to Buy from Hold at Jefferies »
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