Top of the Street: Hensoldt, Unilever, Evonik, dsm-firmenich, IMCD, AAK
A round-up of notable broker activity this morning from Europe's top-ranked* analysts:
** J.P. Morgan upgrades German defence electronics maker Hensoldt HAGG.DE to "overweight" from "neutral"; says it has among the most attractive product portfolios in the European defence sector and has made required investments to facilitate strong sales
** Deutsche Bank raises British consumer goods giant Unilever ULVR.L to "buy" from "hold"; says company offers a balance of transformation potential, earnings confidence and liquidity benefits to hedge AI risk in a balanced portfolio
** Jefferies cuts Germany's Evonik Industries EVKn.DE to "hold" from "buy"; sees earnings improvement in 2026 as temporary rather than structural
** Jefferies downgrades European chemicals maker dsm-firmenich DSFIR.AS to "hold" from "buy"; views current valuation multiple as full
** Jefferies cuts Dutch ingredients maker IMCD IMCD.AS to "hold"; sees moderate return to organic growth, supporting broadly stable gross margins and a gradual recovery in conversion and EBITA margins
INITIATIONS AND REINSTATEMENTS
** Jefferies initiates Swedish plant-based oils and fats maker AAK with "hold" rating; says weak volumes and pricing pressure weigh on near-term earnings
(*Analyst rankings from Thomson Reuters StarMine. The scale is from 1-star to 5-star with 5 being the best. Analysts are ranked on earnings accuracy as well as relative performance of recommendations over trailing 12-month & 24-month periods.)