Associated British Foods (LON:ABF) Stock Price Down 10.4% – What’s Next?

Shares of Associated British Foods plc (LON:ABF) fell 10.4% on Friday . The company traded as low as GBX 1,844 and last traded at GBX 1,926.58. 4,048,014 shares traded hands during trading, a decline of 53% from the average session volume of 8,639,694 shares. The stock had previously closed at GBX 2,151.

Key Associated British Foods News

Here are the key news stories impacting Associated British Foods this week:

• Neutral Sentiment: ABF and Hovis asked the UK regulator to fast‑track the takeover review; the CMA accepted the request to move straight to a Phase 2 investigation, meaning a full, detailed probe rather than a quick clearance — this increases timeline and uncertainty around the transaction. ABF, Hovis ask UK regulator to fast-track takeover review
• Neutral Sentiment: Market commentary notes ABF is underperforming the market amid the news flow, reinforcing downward pressure while liquidity and intraday volume remain elevated. Associated British Foods slips Thursday, underperforms market
• Negative Sentiment: Primark issued a profit warning after weaker holiday trading and a slump in fashion/beauty sales, which directly hit ABF’s near‑term profit outlook and was cited as the main reason for the share move. Primark owner ABF shares slide after profit warning
• Negative Sentiment: Retail sales data from the holiday period show fashion and beauty categories shrinking at peers (e.g., Marks & Spencer and Primark), reinforcing concerns that consumer demand softened over the crucial trading season. Primark, Marks & Spencer See Fashion, Beauty Sales Shrink During Key Holiday Trading Period
• Negative Sentiment: The UK competition watchdog has opened formal scrutiny of ABF’s planned acquisition of Hovis (Kingsmill owner), raising the prospect of remedies, delay or even a blocked deal — an additional overhang for investors assessing transaction value and integration upside. UK competition watchdog to investigate Kingsmill owner’s planned takeover of Hovis

Wall Street Analysts Forecast Growth

Several equities research analysts recently weighed in on the company. JPMorgan Chase & Co. dropped their price target on Associated British Foods from GBX 2,215 to GBX 2,095 and set a “neutral” rating on the stock in a research report on Wednesday, November 5th. Citigroup raised their price objective on Associated British Foods from GBX 1,830 to GBX 1,840 and gave the company a “sell” rating in a research report on Monday, November 10th. Deutsche Bank Aktiengesellschaft upgraded shares of Associated British Foods to a “hold” rating and dropped their target price for the company from GBX 2,130 to GBX 2,000 in a report on Wednesday, September 24th. Finally, Shore Capital reiterated a “buy” rating on shares of Associated British Foods in a research note on Tuesday, November 4th. Two research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of GBX 2,058.75.

Associated British Foods Stock Down 0.1%

The company has a debt-to-equity ratio of 32.88, a current ratio of 1.78 and a quick ratio of 0.93. The stock has a 50 day simple moving average of GBX 2,141.56 and a 200-day simple moving average of GBX 2,148.77. The firm has a market cap of £13.08 billion, a PE ratio of 13.06, a PEG ratio of 1.51 and a beta of 1.24.

Associated British Foods (LON:ABF) last released its earnings results on Tuesday, November 4th. The company reported GBX 174.90 EPS for the quarter. Associated British Foods had a return on equity of 13.07% and a net margin of 7.25%. Sell-side analysts predict that Associated British Foods plc will post 188.0990415 EPS for the current fiscal year.

Insider Transactions at Associated British Foods

In other news, insider Eoin Tonge sold 34,818 shares of the stock in a transaction that occurred on Monday, November 17th. The shares were sold at an average price of GBX 2,103, for a total transaction of £732,222.54. Also, insider George G. Weston sold 43,660 shares of the firm’s stock in a transaction that occurred on Monday, November 17th. The shares were sold at an average price of GBX 2,103, for a total transaction of £918,169.80. 1.50% of the stock is currently owned by company insiders.

About Associated British Foods

Associated British Foods is a diversified international food, ingredients and retail group with sales of £13.9bn, 128,000 employees and operations in 53 countries across Europe, Africa, the Americas, Asia and Australia.

Our purpose is to provide safe, nutritious, affordable food, and clothing that is great value for money. With the breadth of our business, our brands and global reach, ABF aims to consistently deliver value to its stakeholders.

Our business is split into five segments: Grocery; Sugar; Agriculture; Ingredients; and Retail.