JPM starts Holmen at 'underweight' on below-peers mill timber EPS growth

Holmen AB

18/06/2024 09:11

** J.P.Morgan initiates Swedish paper products maker Holmen
 HOLMb.ST  with "underweight", saying its mill timber EPS growth
is the lowest among peers
    ** It prefers Finland's UPM  UPM.HE  and Stora Enso
 STERV.HE , considering its broadly positive mill timber view on
the sector
    ** JPM sees potential earnings acceleration for Holmen
through investment in renewable energy, but says the permitting
process is unpredictable
    ** Holmen's high exposure to timber/sawn good markets and
high levels of forest integration strengthen long-term growth,
it adds
    ** Out of eight analysts covering Holmen, one rates the
stock "buy", six "hold" and one "sell"

 (Reporting by Anna Chaberska)
 ((Anna.chaberska@thomsonreuters.com))