Deutsche Bank announced on Tuesday that it had lowered its price target for Nestlé from 113 to 110 Swiss francs, while maintaining its buy recommendation on the stock.

In a note, the research firm says it is concerned about the slowdown in consumption among the most modest American households, a factor it deems to bode ill for the economy as a whole.

The analyst points out that rising defaults on consumer loans and the growing use of food banks should, at some point, have an impact on economic activity in general.

He notes that Nestlé's valuation compared to the MSCI World index, on the other hand, points to a decline in the number of job seekers on a historical basis, a dichotomy that has prompted him to revise his earnings estimates for the food giant downwards.

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