RBC announced on Tuesday that it had upgraded its recommendation on Nestlé from "underperform" to "perform in line with the sector", albeit with a lowered price target, from CHF 97 to CHF 96.

According to the analyst, the food giant's share price "now more accurately reflects some of the group's weak points, but also its very many qualities".

In his view, organic growth of around 4% should now constitute the market's base scenario, with the possibility of the operating margin on ordinary activities actually reaching the lower end of the 17.5% to 18.5% range that the Group has set itself as a target, but not for some time yet.

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