DAVY VIEW

Givaudan’s 2030 strategy is a continuum of its 2025 roadmap, with a step-up in its revenue ambitions allied with a broadening of its addressable market. The elevation of the Pet segment and Original Design Manufacturing (ODM) in Beauty are meaningful opportunities, where M&A is a likely feature. The business has increased its margin to a sustainable level with healthy reinvestment rates. Revenue growth is the key to unlocking the rating, with Fragrance demonstrating structural resilience despite tough comps. We leave our price target, which offers 22% upside, unchanged but move our rating to ‘Outperform’.