Swiss chocolate stocks diverge as high cocoa prices take toll
The stocks are located in two of the largest chocolate in Switzerland in significantly different sessions this year, as the high prices of cocoa prove that it is a more strict obstacle than it is for the other.
Lindt & Spruengli has increased by 29 % so far as Lindor Maker has shown itself capable of transferring higher costs for customers and helping to launch Dubai -style clouds. On the contrary, Barry Callebau Ag decreased by 29 % because the world’s leading brochure company is shrinking due to a lack of pricing power.
Cocoa cost is a challenge for both companies, with the main commodity price remaining stubbornly after more than a quarter in 2023 and 2024. However, Lindt plans to increase prices of two numbers this year, Barry Callebau customers that include Nestle Sa
“Barry Calibot faces an ideal storm of defeated demand and limited pricing power,” said Bloomberg Intelligence, IGNACIO Canals Polo. In contrast, “Lindt emerges amid the current cocoa market disorders, and benefit from its distinguished position.”
Lindt, working in the high -end sector, was able to obtain its share in the market from competitors such as Mondelez International Inc. Its chocolate, like Dubai, was offered at the end of last year as “the best products launch in Lindt”.
A Lindt spokesman said that price increases will continue this year due to the high prices of cocoa. However, the company expects the direction of the quantity to continue to the quality consumption of the distinctive chocolate.
Meanwhile, Barry Calipot’s customers reduced chocolate content in their products, which would harm the margins. In April, the company reduced its sales expectations for this year, and the arrow was sent to a decrease.
For Barry Callebau, another pressure point is in the interest of the sellers on the open, as cocoa supply continues to tighten West African farmers in sales next season in anticipation of high prices. The shares on loan, an indication of a short benefit, were 23 % of the free company floating as of June 3, according to the S&P Global Market Intelligence.
“With every increase in cocoa prices, you have a negative impact on free cash flow,” said Damian Burkhardt, director of the Swiss stock portfolio at EFG Asset Management. “This is why short interest in the name is very high.”
The company’s executive managers have struggled to move in a difficult environment. Barry Calipot shares achieved a 30 % annual negative annual return under CEO Peter Field, who took command in April 2023 after the surprise departure of Peter Bon. This compares with a positive return of about 14 % for peers during the same period, according to the data collected by Bloomberg.
Barry Calibut did not respond to a request for comment.
Certainly the goals of the intermediate analyst prices indicate that the wealth of Swiss chocolate makers, which are based on about 10 kilometers from each other in the Xorich Canton, can be reflected in the next 12 months.
Their predictions show Barry Calipot, which decreased to the lowest level of 2011 last month, and 31 % of the current levels. Meanwhile, Lindt, which hovers near a standard height, can decrease 12 %. BNP Paribas EXANE MIKHEIL OMANADZE says that Lindt shares are “expensive”.
But for David Roux from Morgan Stanley, “Lindt has emerged during the final test of chocolate brands.” Even with the gathering of the session for this year, the chocolate maker sees for European consumer peers who are supported.
This story was originally shown on Fortune.com
2025-06-05 09:11:00
