Compass Group PLC has received an upgrade to an “outperform” rating from analysts at the Royal Bank of Canada, as detailed in a research report published on Monday. This upgrade comes with a revised price target of GBX 2,775, increased from the previous GBX 2,700. This new target suggests a potential upside of approximately 18.44% based on the company’s last closing price.
Other financial institutions have also shown optimism regarding Compass Group’s stock. Berenberg Bank reaffirmed its “buy” rating and set a target price of GBX 3,000 on October 21, 2024. Citigroup followed suit by upgrading the stock to a “buy” rating and raising its price objective from GBX 2,750 to GBX 3,000 on November 27, 2024. Similarly, Jefferies Financial Group reiterated a “buy” rating with a target price of GBX 3,000 in a report dated October 10, 2024. Additionally, Deutsche Bank Aktiengesellschaft raised its rating to “buy” and increased its target price from GBX 2,700 to GBX 2,900 on September 11, 2024.
MarketBeat data indicates that six analysts currently recommend a “buy” rating for Compass Group, with an average target price of GBX 2,935. This consensus reflects a growing confidence in the company’s performance in the food service sector.
Insider Activity and Company Overview
In related news, insider Leanne Wood purchased 444 shares of Compass Group on November 25, 2024, at an average price of GBX 2,392 per share, amounting to a total transaction of £10,620.48. Currently, insiders own approximately 0.52% of the company’s shares.
Compass Group PLC is a leading global food service provider, generating annual revenues of $42.2 billion for the fiscal year ending on September 30, 2024. The company operates in around 30 countries and employs approximately 580,000 individuals, serving meals to millions. Its services span various sectors, including Business & Industry, Healthcare & Senior Living, Education, Sports & Leisure, and Defence, Offshore & Remote, backed by a well-established brand portfolio.
As Compass Group continues to receive positive evaluations from analysts, it remains to be seen how these upgrades will influence investor sentiment and the stock’s performance in the coming months.
