Why Is Mondelez Stock Down In Premarket Today
An analyst believes that cocoa prices and weak European demand are not adequately priced in Wall Street’s earnings for Mondelez.
Investment research firm Berenberg has downgraded Mondelez stock to ‘Hold’ from ‘Buy,’ according to the investor note summary posted on the Fly early Thursday. Shares slipped 0.6% in premarket trading.
Berenberg also lowered the price target on the stock to $70, down from $81. The lowered price target, however, implied a nearly 11% upside from the last close.
Berenberg argued that while it expects the cocoa price to fall next year, easing some pressure on Mondelez, it would not be to a level reflected in existing forward curve estimates by Wall Street analysts.
Consensus earnings estimates also do not appear to fully account for weaker European demand in the second half of 2025, the research firm stated.
Mondelez, the producer of Oreo biscuits and Cadbury Dairy Milk chocolates, has not set a date for its quarterly results. Shares have fallen sharply since the company’s last quarterly report in late July, which showed adjusted profit shrinking for a third consecutive quarter.
Currently, 19 of the 26 analysts covering the stock rate it ‘Buy’ or higher, and seven rate it ‘Hold,’ according to Koyfin data. Their average price target is 74.13.
On Stocktwits, the retail sentiment for MDLZ was ‘bullish’ as of the last reading, with ‘normal’ message volume.
As of the last close, shares are up 5.8% year-to-date.
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