Associated British Foods’ (ABF) “Underperform” Rating Reiterated at Jefferies Financial Group

Associated British Foods (LON:ABF)‘s stock had its “underperform” rating reaffirmed by stock analysts at Jefferies Financial Group in a note issued to investors on Friday,Digital Look reports. They presently have a GBX 1,650 target price on the stock. Jefferies Financial Group’s price objective would indicate a potential downside of 11.24% from the stock’s previous close.

Several other research firms have also recently commented on ABF. Citigroup boosted their target price on Associated British Foods from GBX 1,830 to GBX 1,840 and gave the stock a “sell” rating in a research report on Monday, November 10th. Deutsche Bank Aktiengesellschaft raised Associated British Foods to a “hold” rating and cut their price objective for the stock from GBX 2,130 to GBX 2,000 in a report on Wednesday, September 24th. Shore Capital reaffirmed a “buy” rating on shares of Associated British Foods in a research note on Tuesday, November 4th. Finally, JPMorgan Chase & Co. dropped their target price on shares of Associated British Foods from GBX 2,215 to GBX 2,095 and set a “neutral” rating for the company in a research report on Wednesday, November 5th. One equities research analyst has rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Reduce” and an average target price of GBX 1,931.

Associated British Foods Price Performance

Shares of Associated British Foods stock traded up GBX 9 on Friday, reaching GBX 1,859. The stock had a trading volume of 2,399,021 shares, compared to its average volume of 7,529,364. The business’s 50 day moving average is GBX 2,141.56 and its two-hundred day moving average is GBX 2,148.77. The company has a market cap of £13.15 billion, a P/E ratio of 13.13, a price-to-earnings-growth ratio of 1.51 and a beta of 1.24. Associated British Foods has a 1 year low of GBX 1,818.87 and a 1 year high of GBX 2,359. The company has a current ratio of 1.78, a quick ratio of 0.93 and a debt-to-equity ratio of 32.88.

Associated British Foods (LON:ABF) last posted its earnings results on Tuesday, November 4th. The company reported GBX 174.90 earnings per share (EPS) for the quarter. Associated British Foods had a net margin of 7.25% and a return on equity of 13.07%. As a group, research analysts anticipate that Associated British Foods will post 188.0990415 EPS for the current year.

Insider Buying and Selling

In related news, insider Eoin Tonge sold 34,818 shares of Associated British Foods stock in a transaction on Monday, November 17th. The shares were sold at an average price of GBX 2,103, for a total value of £732,222.54. Also, insider George G. Weston sold 43,660 shares of the company’s stock in a transaction dated Monday, November 17th. The shares were sold at an average price of GBX 2,103, for a total transaction of £918,169.80. Insiders own 1.50% of the company’s stock.

Key Headlines Impacting Associated British Foods

Here are the key news stories impacting Associated British Foods this week:

• Neutral Sentiment: ABF and Hovis requested the UK regulator skip the initial review and move straight to a Phase 2 takeover investigation — the move seeks to accelerate the timetable but signals the deal raises competition questions. ABF, Hovis ask UK regulator to fast-track takeover review
• Neutral Sentiment: Market commentary: ABF underperformed the market amid the sell-off, reflecting broader repositioning by investors while newsflow develops. Associated British Foods slips Thursday, underperforms market
• Negative Sentiment: Primark profit warning: Management cut guidance after a holiday trading period where fashion and beauty categories weakened, directly weakening ABF’s retail earnings outlook and prompting the share slump. Associated British Foods Shares Plunge as Primark Weakness Weighs on Outlook
• Negative Sentiment: Primark sales slump in holiday trading: Reports show declines in fashion and beauty sales across key peers, underlining sector weakness that hit Primark’s margins and sales momentum. Primark, Marks & Spencer See Fashion, Beauty Sales Shrink During Key Holiday Trading Period
• Negative Sentiment: Shares plunged (>10% intraday) after the Primark profit warning — multiple outlets highlight sharp investor reaction as analysts reassess FY profit forecasts. Associated British Foods shares plummet by over 10% after Primark profit warning
• Negative Sentiment: CMA fast-tracks Hovis takeover review to Phase 2 — regulator’s move increases takeover uncertainty, could prolong deal timeline or force remedies that affect transaction value/strategy. CMA accepts joint ABF/Hovis request to fast-track merger investigation
• Negative Sentiment: UK competition watchdog will investigate the Kingsmill owner’s planned Hovis takeover — added regulatory scrutiny raises execution risk for ABF’s M&A plans. UK competition watchdog to investigate Kingsmill owner’s planned takeover of Hovis
• Negative Sentiment: Financial press coverage (FT, Yahoo, AmericanBankingNews) emphasizes the link between Primark’s weaker trading, downgraded outlook and the share price decline — expect analyst revisions and volatility while more trading updates and CMA findings arrive. Associated British Foods (LON:ABF) Stock Price Down 10.4% – Here’s Why

Associated British Foods Company Profile

Associated British Foods is a diversified international food, ingredients and retail group with sales of £13.9bn, 128,000 employees and operations in 53 countries across Europe, Africa, the Americas, Asia and Australia.

Our purpose is to provide safe, nutritious, affordable food, and clothing that is great value for money. With the breadth of our business, our brands and global reach, ABF aims to consistently deliver value to its stakeholders.

Our business is split into five segments: Grocery; Sugar; Agriculture; Ingredients; and Retail.