Refile: BUZZ-'Show me,' Berenberg says as it cuts Sodexo to 'hold'

Sodexo SA

24/10/2025 07:03

Removes extraneous company description in 1st bullet point

** Berenberg downgrades Sodexo EXHO.PA  to "hold" from "buy", calling the French caterer a "show me story" with a finely balanced risk/profile reward

** The broker says it is mainly unimpressed by Sodexo's soft 2026 full-year guidance, adding that organic growth guidance of 1.5-2.5% and "slightly lower" margins fell well below market expectations for 3.4% growth and margin expansion

**  "Sodexo has been clear: FY26 will be transition year to lay the foundations for growth. We expect the market will wait to see how successful this approach is before Sodexo can rerate," it says

** Berenberg cuts its 2026 profit estimates to reflect the new guidance, driving its PT down by about 21% to EUR 56

**  Out of the 18 analysts that cover Sodexo, seven rate the stock "strong buy" or "buy", ten rate it "hold", and one rates the stock "sell" - LSEG data

 (Reporting by Jakob Van Calster)

 ((jakob.vancalster@thomsonreuters.com))