Signify shares plummet after CMD update fails to convince

Signify NV

23/06/2026 08:47

   ** Dutch lighting company Signify LIGHT.AS drops around 14% after releasing new medium-term targets and unveiling its strategy during its Capital Markets Day (CMD) 
** J.P. Morgan calls the updated dividend policy of 40% to 50% of underlying net income a "big surprise," implying a 45% cut to dividend per share expectations
** Broker further deems the new EBITA margin goal of 10% by 2029 as realistic, but does note it slightly lacks ambition as it's below what the company previously targeted 
** Analysts at ING say that the CMD pre-release "reinforces our view that the company remains a structurally low-growth business" 
** " The more conservative capital allocation stance, including a dividend reduction and no near-term resumption of share buybacks, underlines ongoing balance sheet prioritisation," ING says
** Shares are on track for their worst day since January 30, recouping some losses after briefly tracking for worst day ever 

 (Reporting by Jakob Van Calster)
 ((jakob.vancalster@thomsonreuters.com))