UK: Campari coverage lowered despite strong H1

By just-drinks.com editorial team | 13 September 2007

Campari has had its share coverage cut following the release of its first half figures earlier this week.

CA Cheuvreux yesterday (12 September) lowered its rating on the Italian drinks group to 'underperform' from 'selected list', whilst also cutting its target price for Campari's shares to EUR8 from EUR8.85.

Earlier this week, Campari reported that operating profit for the first six months of this year rose by 7.9% year-on-year, hitting EUR92.7m (US$127.8m). Net sales for the period were up by 5.4% to EUR440.6m in the six-month period.

The broker noted that the results were good, but highlighted that guidance for the coming quarters was poor.

Cheuvreux also lowered its EPS forecasts in 2007-2009 by 5-6%.

Sectors: Spirits

Companies: Campari