UBS initiates coverage on UK's Tate & Lyle with 'neutral'; shares rise

Tate & Lyle

24/06/2025 10:40

** Shares of British food ingredients maker Tate & Lyle TATE.L up 2.6% at 533p

** UBS Global Research initiates coverage on TATE with "neutral"

** PT of 590p, representing an 10.69% upside to stock's last close

** Brokerage sees "lack of acceleration" in volume growth in FY26, and expects limited upside to consensus estimates for FY26 and FY27

** UBS expects weaker organic sales growth versus peers (like Kerry Group Plc KYGa.I and Ingredion Inc INGR.N) and fragile U.S. consumer confidence, where co has high exposures

** Average rating of 10 analysts is "buy"; median PT is 745p — data compiled by LSEG

** As of last close, stock down ~18.4% YTD

 (Reporting by Akriti Shah in Bengaluru)

 ((akriti.shah@thomsonreuters.com))