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Compass Group Kept at Buy as AlphaValue/Baader Europe Highlights 'Best-in-class' Profile; Price Target Down
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07:01 AM EDT, 08/21/2026 (MT Newswires) -- AlphaValue/Baader Europe reiterated its buy recommendation on Compass Group (CPG.L), noting that its view of the catering and food services company's "best-in-class" profile remains intact despite trimming the stock's price target. "Compass remains a best-in-class operator in contract catering, and the cut reflects a normalisation of its ratings rather than any downgrade of that view," the research firm said Thursday. "We have cut the P/E premium to 20% (down from 50%), deliberately below the [greater than] 25x at its all-time high when the market was capitalising post-Covid and inflation-led growth as if it were structural. We have gone the same way on EV/EBITDA (30% premium down from 50%), but the group still warrants a premium, and the execution record is why: the group has showed consistency no peer can boast of." Against this backdrop, the price target for the London-listed group was changed to $40.1 from $43.2.
Disclaimer:This article represents the opinion of the author only. It does not represent the opinion of Webull, nor should it be viewed as an indication that Webull either agrees with or confirms the truthfulness or accuracy of the information. It should not be considered as investment advice from Webull or anyone else, nor should it be used as the basis of any investment decision.
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