Remy Cointreau falls as sales recovery is already priced in

By Reuters News

** Shares in Remy Cointreau RCOP.PA fall around 6% despite a Q2 sales beat - an analyst says the cognac maker's recovery has been already priced in

** Remy Cointreau's Q2 organic sales rise 4.2% to €280.1 million ($311.47 million), beating consensus of a 3.6% rise

** Broker TP ICAP Midcap says the recent share price rally leaves limited upside, even as operating trends continue to improve -- cuts rating to "sell" from "hold"

** Up to the previous session's close, shares rose 38.4% YTD; they gained about 17% vs Sept. 30 closing price

** "We now consider the risk-return profile to be unfavourable: not because the outlook is deteriorating, but because the market has already priced this in," Midcap says

** Jefferies notes that stronger cognac sales were partly flattered by shipment phasing into China, while tariff savings are being reinvested rather than boosting earnings guidance

** The shares, which are on track for their worst day since late Feb. if losses hold, sit at the bottom of France's SBF 120 .SBF120 index

($1 = 0.8993 euros)

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