Latest news with #JDEPeet'sNV
Business Insider
16 hours ago
- Business
- Business Insider
Barclays Sticks to Their Hold Rating for JDE Peet's NV (JDEP)
In a report released on July 2, Patrick Folan from Barclays maintained a Hold rating on JDE Peet's NV, with a price target of €24.40. The company's shares closed yesterday at €24.50. Don't Miss TipRanks' Half-Year Sale Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Folan covers the Consumer Defensive sector, focusing on stocks such as JDE Peet's NV, Henkel AG & Co. KGaA, and Orkla ASA. According to TipRanks, Folan has an average return of -6.2% and a 37.70% success rate on recommended stocks. Currently, the analyst consensus on JDE Peet's NV is a Hold with an average price target of €23.79, which is a -2.90% downside from current levels. In a report released yesterday, Deutsche Bank also maintained a Hold rating on the stock with a €24.00 price target.
Yahoo
23-03-2025
- Business
- Yahoo
Coffee makers were betting on lower prices — they were wrong
(Bloomberg) — Coffee roasters that were betting on lower prices opted out of hedging. Now consumers will pay the price. Chicago Transit Faces 'Doomsday Scenario,' Regional Agency Says They Built a Secret Apartment in a Mall. Now the Mall Is Dying. LA Faces $1 Billion Budget Hole, Warns of Thousands of Layoffs New York Subway Ditches MetroCard After 32 Years for Tap-And-Go Despite Cost-Cutting Moves, Trump Plans to Remake DC in His Style Companies that typically take positions in the futures market to protect themselves from price fluctuations changed course when prices began rising last year, betting they could secure a better deal later. But supply shortages persisted and prices kept climbing, leaving companies from JDE Peet's NV to Starbucks Corp. no option but to raise costs for consumers. Now, one proxy for buyer hedging is near the lowest level in more than 11 years and roasters are expected to pass their much higher costs onto consumers who are already paying the most ever for coffee. Average prices for a pound of ground roast coffee reached a record $7.25 a pound in February, according to the US Bureau of Labor Statistics. 'The reality is significant price increases are inevitable,' said Rafael Oliveira, chief executive officer of coffee titan JDE Peet's NV, in a February earnings call. Starbucks Chief Financial Officer Rachel Ruggeri said in January that the company's products sold in supermarkets will be affected 'in a more meaningful way' than other areas of its business. Both executives said they expect higher prices to pressure retail sales volumes. Coffee prices surged to a record earlier this year after a drought hurt crops in top producer Brazil. Shortages means the market flipped into a so-called backwardation, with earlier-dated contracts being more expensive than later ones. As a result, holding beans in inventory has become too costly and roasters are operating 'hand to mouth' – purchasing raw beans in very small batches and entering the market at the last possible moment. Cash-strapped traders are also struggling to finance the transport of beans from where they're produced to where they're consumed. 'Roasters are struggling,' said Thiago Cazarini, a broker based in Brazil's largest coffee-growing region. 'Some of them probably at this very moment are working below the cost of the raw materials, of the whole operation.' Smaller to mid-size roasters, meanwhile, are continuing to stay away from the futures market. Gregorys Coffee, a New York-based company with more than 50 locations across the US, used to use futures to lock in prices for almost all of its coffee. But now, given the market structure and high prices, 'most folks that are at our size are not seeing a great opportunity to hedge,' said Chief Executive Officer Gregory Zamfotis. Tomas Araujo, a trading associate at StoneX Group Inc., said roasters are waiting for the market to take a leg lower before putting on new hedges. 'The issue is, I'm not really sure if we're going to get there.' —With assistance from Daniela Sirtori. A New 'China Shock' Is Destroying Jobs Around the World How TD Became America's Most Convenient Bank for Money Launderers Tesla's Gamble on MAGA Customers Won't Work One Man's Crypto Windfall Is Funding a $1 Billion Space Station Dream The Real Reason Trump Is Pushing 'Buy American' ©2025 Bloomberg L.P. Sign in to access your portfolio
