Berenberg lowers target price on YouGov

Berenberg noted that “in challenging conditions”, YouGov’s H125 revenues had “grown modestly” on an underlying basis and noted that its data products division had returned to underlying growth.

The German bank noted that YouGov’s outlook pointed to a continuation of modest year-on-year revenue growth in H2. However, in terms of forecasts, it has reduced its FY25 revenue forecast by 1.5% and adjusted underlying earnings forecasts by 4%.

“Shares are trading on an FY25E P/E of c11x and on a 50% discount relative to the two-year average 12-month forward P/E multiple. We reduce our price target to 760.0p (from 810.0p), which reflects the change in our forecasts,” said Berenberg, which has a ‘buy’ rating on the stock.

Reporting by Iain Gilbert at Sharecast.com