Femsa initiated with a Neutral at Citi

Citi initiated coverage of Femsa with a Neutral rating and $134 price target. The analyst initiated coverage of the Mexico retailers with Walmex as the top pick, followed by Kimberly Clark Mexico. The firm believes the consumer scenario in Mexico will remain favorable in 2024 as the benefits of real wage growth and the forecasted cut in interest rates will help shield consumers from decreases in purchasing power.