Pernod Ricard shares are closing back in on major support levels around 155.75 EUR based on daily price data, which could offer attractive entry points.
Summary
● The company's Refinitiv ESG score, based on a ranking of the company relative to its industry, comes out particularly well.
Strengths
● Before interest, taxes, depreciation and amortization, the company's margins are particularly high.
● The group's activity appears highly profitable thanks to its outperforming net margins.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
● Predictions on business development from analysts polled by Standard & Poor's are tight. This results from either a good visibility into core activities or accurate earnings releases.
Weaknesses
● One of the major weak points of the company is its financial situation.
● The company's enterprise value to sales, at 4.01 times its current sales, is high.
● The average price target of analysts who are interested in the stock has been significantly revised downwards over the last four months.
● Over the past twelve months, analysts' opinions have been revised negatively.
● The group usually releases earnings worse than estimated.
The content herein constitutes a general investment recommendation, prepared in accordance with provisions aimed at preventing market abuse by Surperformance, the publisher of MarketScreener.com. More specifically, this recommendation is based on factual elements and expresses a sincere, complete, and balanced opinion. It relies on internal or external data, considered reliable as of the date of their release. Nevertheless, this information, and the resulting recommendation, may contain inaccuracies, errors, or omissions, for which Surperformance cannot be held responsible. This recommendation, which in no way constitutes investment advice, may not be suitable for all investor profiles. The reader acknowledges and accepts that any investment in a financial instrument involves risks, for which they assume full responsibility, without recourse against Surperformance. Surperformance commits to disclosing any conflict of interest that may affect the objectivity of its recommendations.
Pernod Ricard is the world's No. 1 in the production and marketing of Premium and Prestige spirits and wines. Net sales break down by family of products as follows:
- spirits and champagnes of strategic international brands (61.8%): Absolut (12 million cases sold in 2023/24), Jameson (10.7 million), Ballantine's (8.8 million), Chivas Regal (4.7 million), Malibu (4.4 million), Ricard (4.3 million), Havana Club (3.5 million), Beefeater (3.3 million), Martell (2.2 million), The Glenlivet (1.4 million), Mumm (0.5 million), Perrier-Jouët (0.3 million) and Royal Salute (0.2 million);
- local strategic brands' spirits (18.2%): Seagram's, Kahlua, Olmeca, Seagram's Gin, Ramazzotti, Imperial, and Pastis 51 brands, etc.;
- speciality brand's craft spirits (7.3%): Italicus, Lillet, Pernod, Suze, Augier, Malfy, Jefferson's, Powers and Redbreast brands, etc.;
- strategic wines (3.6%): Jacob's Creek, Kenwood, Brancott Estate, Campo Viejo, Church Road, George, St Hugo, Stoneleigh, Ysios and Wyndham brands;
- other (9.1%).
At the end of June 2024, the group has 94 production sites worldwide.
Net sales are distributed geographically as follows: Europe (28.3%), Americas (28.8%) and other (42.9%).
PERNOD RICARD 
