Newlat Food S.p.A., the Consumer Defensive sector company, was revisited by a Wall Street analyst yesterday. Analyst Arianna Terazzi from Intesa Sanpaolo maintained a Buy rating on the stock and has a €26.00 price target.
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Arianna Terazzi has given her Buy rating due to a combination of factors that highlight Newlat Food S.p.A.’s strategic moves and growth potential. The acquisition of Heinz Italia’s baby and specialty food unit is seen as a significant step in strengthening Newlat’s position in a resilient and profitable market. This acquisition is expected to bring synergies in production and distribution, enhancing the company’s operational efficiency and market reach.
Furthermore, the deal aligns with Newlat’s strategy to bolster its presence in high-margin food categories, consolidating its leadership in Italy and Europe. The financial metrics of the acquisition, including a favorable EV/EBITDA multiple, suggest that it will be accretive to Newlat’s earnings. Additionally, the anticipated growth in EBITDA margins by 2027 underscores the potential for improved profitability, making the stock an attractive investment opportunity.
According to TipRanks, Terazzi is ranked #2208 out of 9845 analysts.