Shares of Compass Group (LON:CPG) received a positive boost as the Royal Bank of Canada upgraded its rating to “outperform” in a research report released on Monday morning. The bank set a new target price of GBX 2,775, an increase from its previous estimate of GBX 2,700. This upgrade reflects growing confidence in the company’s performance among several analysts.
Multiple equity research firms have recently expressed similar optimism about Compass Group. On October 10, 2023, Jefferies Financial Group reaffirmed its “buy” rating and established a target price of GBX 3,000. Just days later, on October 21, 2023, Berenberg Bank reiterated its “buy” stance with the same price target of GBX 3,000. Following this, Citigroup upgraded Compass Group to a “buy” rating and raised its target from GBX 2,750 to GBX 3,000 on November 27, 2023. Additionally, Deutsche Bank Aktiengesellschaft also adjusted its rating to “buy,” lifting the target price from GBX 2,700 to GBX 2,900 on September 11, 2023.
According to MarketBeat.com, seven analysts currently rate Compass Group with a “buy” rating, resulting in a consensus target price of GBX 2,962.50. This strong endorsement from analysts positions Compass Group favorably in the market.
Recent Insider Activity and Company Profile
In other developments, insider Leanne Wood purchased 444 shares of Compass Group on November 25, 2023. The shares were acquired at an average price of GBX 2,392 each, culminating in a total investment of £10,620.48. Currently, corporate insiders hold approximately 0.52% of the company’s stock.
Compass Group PLC is recognized as a leading global food service company, generating annual revenues of approximately $42.2 billion for the fiscal year ending on September 30, 2024. The company serves millions of meals across around 30 countries and employs close to 580,000 individuals. It specializes in delivering food and related support services across diverse sectors, including Business & Industry, Healthcare & Senior Living, Education, Sports & Leisure, and Defence, Offshore & Remote.
As the market continues to evolve, analysts remain attentive to Compass Group’s performance and its strategic positioning in the food service industry.
