HelloFresh shares in the red: Analysts see price loss - financial expert opinion

HelloFresh shares in the red: Analysts see price loss - financial expert opinion

According to a report by m.ariva.de,

HelloFresh shares (HelloFresh shares) are currently in the red on the German stock exchange. Most recently, investors paid 14.61 euros for the share. The HelloFresh security is currently experiencing a price loss of 0.98 percent. It has deteriorated by 14 cents compared to the previous day's last price. At the moment, private and institutional investors on the stock exchange pay 14.61 euros for the paper. The HelloFresh security has so far performed worse than the overall market, as measured by the MDAX (MDAX). This is quoted at 26,074 points. The MDAX is currently down 0.10 percent. The HelloFresh share recorded its lowest price to date on December 20, 2018. At that time, the security cost 5.83 euros, i.e. 8.78 euros less than it currently does.

The company HelloFresh
HelloFresh SE supplies its customers with fresh meals tailored to their personal wishes. The most important product line is the meal kits, which are delivered directly to the customer's doorstep at any time. In just around five years after starting operations in 2012, the company has built a customer base of more than 1.3 million. Most recently, HelloFresh had an annual profit of 256 million euros on its books. The group had sold goods and services worth 5.99 billion euros.

This is how analysts see HelloFresh shares
HelloFresh shares are followed by several analysts. The major Swiss bank UBS has rated Hellofresh's shares as “Sell” with a price target of 14 euros. The business model made the meal kit mail order company strong during the Corona period, but post-Covid it caused a slump, wrote analyst Jo Barnet-Lamb in a study available on Thursday. He believes the market expectations for 2024 are too high. In the context of declining forecasts, the low valuation also appears in a different light. The US investment bank Goldman Sachs has lowered the price target for Hellofresh from 27.30 to 23.40 euros and left the rating at “neutral”. After the meal kit retailer's latest profit warning, it reduced its earnings forecasts, wrote analyst Lisa Yang in a study available on Monday.

Impact on the market:
The negative analyst ratings and the price development of HelloFresh shares indicate a certain uncertainty that can be observed in the financial industry. The forecast cuts and profit warning have caused investors to become more cautious and potentially reconsider their investments. This could lead to further weakening of the share price and reduced demand for HelloFresh shares.

It is important that investors keep a close eye on these developments and adjust their investment strategies accordingly to limit potential losses. In-depth analysis of financial data and market movements is essential in these times to make informed decisions.