Jefferies says Demant nears valuation trough, ups to 'hold'
23/08/2024 13:26
** Jefferies upgrades Danish hearing aid maker Demant
DEMANT.CO to "hold" from "underperform" on low relative
valuation, but notes an absence of catalysts for the stock
** It says Demant is nearing a trough in valuation, after
Swiss rival Sonova SOON.S outperformed it over the past three
months
** Demant's profit warning in July reflects the impact of
its brand strategy in the U.S. Managed Care business, which will
continue to weigh on it through 2024 at least, Jefferies says
** It says the lack of catalysts and Managed Care woes in
the short term keep it from taking a more constructive stance on
the stock, as the "appealing" valuation is not enough
** Out of 19 analysts that cover Demant, seven rate it
"strong buy" or "buy", nine "hold" and three "sell"
(Reporting by Marta Frąckowiak)
((marta.frackowiak@thomsonreuters.com))