Kepler Cheuvreux cuts PostNL as 'political uncertainty costs dearly', shares drop

PostNL

06/06/2025 08:37

** Kepler Cheuvreux downgrades PostNL to "reduce" from "hold", saying the collapse of the Dutch government will hinder legislation supportive to the Dutch postal operator

** Shares in PostNL drop about 10% to their lowest price ever, and heading for their biggest single-day slump since early November 2023

** "Controversial and non-urgent legislation will remain on hold, which most likely includes any changes to the Universal Service Obligation (USO), which affects PostNL, as well as related short-term relief measures that the previous government might have enacted," says Kepler Cheuvreux

** Broker pushes back the emergence of regulatory relief for PostNL by 12 months and sees little chance of implementation in 2026

** It sees profitability in mail division, where it previously saw stabilisation, to continue to deteriorate in FY 2026

** "Among its postal peers, we see better value elsewhere," the broker says

** Of seven analysts covering PostNL, four rate it "hold" and three rate it "strong sell"/"sell" - LSEG data

 (Reporting by Dimitri Rhodes)

 ((Dimitri.rhodes@thomsonreuters.com))