Citi downgrades Sainsbury’s to ‘neutral’
Sainsbury (J)
269.00p
16:40 23/12/24
-0.44%
-1.20p
Citi downgraded its stance on Sainsbury’s on Tuesday to ‘neutral’ from ‘buy’ and cut the price target to 295p from 320p following a strong sector-relative performance, with the shares up 29% year-to-date.
Food & Drug Retailers
4,444.08
17:09 23/12/24
-0.06%
-2.49
FTSE 100
8,102.72
17:14 23/12/24
n/a
n/a
FTSE 350
4,471.06
17:09 23/12/24
n/a
n/a
FTSE All-Share
4,428.73
16:44 23/12/24
n/a
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"Against the backdrop of elevated food inflation and the cost of living crisis, Sainsbury has done little wrong, executing on its strategy to drive value into its offer and take cost out," Citi said.
"However, with a flat to ‘small down' year-over-year guide (consistent with peers) and a 13x FYMar25E PER ahead of others already buying back shares, we move to the sidelines."