- Societe Generale has downgraded Koninklijke Philips ( NYSE: PHG ) to hold from buy citing the company's recent profit warnin g and less confidence that company will experience a recovery next year.
- The firm has a €15.40 price target (~11% upside based on Thursday's close on the Euronext Amsterdam).
- SocGen said that with Wednesday's pre-release of Q3 results, "our hopes of strong revenue growth in 4Q have been dashed, with the company flagging a mid-single digit drop in sales."
- As a result, SocGen has a mediocre outlook for the company to 2026, with just 1.8% 2021-26e sales CAGR and 0.4% for EPS.
- Seeking Alpha's Quant Rating views Philips ( PHG ) as a hold with high marks for valuation and profitability .
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Philips downgraded to hold at Societe Generale on diminished likelihood of 2023 recovery