European Beverage Stocks Likely to Outperform in 2025 -- Market Talk

Dow Jones12-09

1033 GMT - The European beverage sector is anticipated to have a rather positive 2025, Citi analysts say in a note. This is despite some expected downgrades, given that stock prices are already discounting a subdued 2025 outlook, while valuations are currently at long-run lows. They add that 2024 was a year marked by cyclical, rather than structural, headwinds to consumption. The worst of the sector's current challenges, such as slowing economic growth in China and Vietnam, and weak consumer trends in developed markets, are believed to have passed, they add. "We expect 2025 to be a year of beverage out-performance," they say. Despite the optimism regarding the stock, Citi analysts expect 2025 guidance to remain cautious. (michael.susin@wsj.com)

 

(END) Dow Jones Newswires

December 09, 2024 05:33 ET (10:33 GMT)

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