The investment bank Credit Suisse First Boston has cut its rating on SABMiller to “underperform” from “neutral” with a 480 pence share price target.
Although the bank’s analysts said the strong rand would boost first-half results, they said this was already priced in and the shares were currently expensive.
In a research note Credit Swiss said: “Miller Lite is driving the recent gains, but the turnaround is not yet in sight.”
It continued: “AC Nielsen supermarket data for August and September shows a sizeable up-tick in Miller Lite’s performance. While this coincides with new low carb ads, we believe it is more a function of increased short-term promotional activity and is not sustainable.”
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData