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Cadbury Nigeria: Cold Earnings Debut Prompts Hold Rating


Cadbury Nigeria: Cold Earnings Debut Prompts Hold Rating
Following the pandemic-induced economic stress in 2020, Cadbury Nigeria Plc. earnings record turnout cold as analyst observed subdued demand weighs heavily on product sales.
In its earnings guidance for the first quarter of 2021, Meristem Securities expects the company’s earnings to drop by about 8%.
“Cost pressure remains a clog to profitability. Volatility on stock price is expected, with overriding bearish sentiments”, analysts at the investment firm said in a new release.
After projecting reduced earnings per share for 2021, analysts at said that the fast moving consumers’ goods operator’s performance mirrored the impact of the slowdown in economic activities amidst challenges posed by the coronavirus pandemic, and sustained pressure on consumer wallets. ....

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