Mondelez Hit by Analyst Downgrade

Mondelez International has received a more cautious note from Rothschild & Co Redburn, which cut its rating from “Buy” to “Neutral” and lowered its price target from $71 to $55. The broker cited several near-term headwinds, including weaker volumes and tougher competition, despite the chocolate business remaining supported by price increases. For investors, the move points to more limited upside in the near term, especially as recent growth has been driven partly by pricing rather than volumes. MDLZ shares could therefore remain under pressure until a clearer improvement in demand emerges.