Associated British Foods (LON:ABF) Trading Down 10.4% – Time to Sell?

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

Trending Headlines about Associated British Foods

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 Analyst Weigh In

Several research analysts have commented on ABF shares. Shore Capital restated a “buy” rating on shares of Associated British Foods in a report on Tuesday, November 4th. Citigroup increased their price target on shares of Associated British Foods from GBX 1,830 to GBX 1,840 and gave the stock a “sell” rating in a research note on Monday, November 10th. Deutsche Bank Aktiengesellschaft upgraded shares of Associated British Foods to a “hold” rating and lowered their price objective for the stock from GBX 2,130 to GBX 2,000 in a report on Wednesday, September 24th. Finally, JPMorgan Chase & Co. reduced their target price on Associated British Foods from GBX 2,215 to GBX 2,095 and set a “neutral” rating on the stock in a report on Wednesday, November 5th. Two investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of GBX 2,058.75.

Associated British Foods Stock Performance

The company has a market capitalization of £13.08 billion, a P/E ratio of 13.06, a price-to-earnings-growth ratio of 1.51 and a beta of 1.24. The company’s 50 day moving average is GBX 2,141.56 and its 200-day moving average is GBX 2,148.77. The company has a current ratio of 1.78, a quick ratio of 0.93 and a debt-to-equity ratio of 32.88.

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

Insider Buying and Selling

In related news, insider George G. Weston sold 43,660 shares of the company’s stock in a transaction that occurred on Monday, November 17th. The stock was sold at an average price of GBX 2,103, for a total value of £918,169.80. Also, insider Eoin Tonge sold 34,818 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 value of £732,222.54. Insiders own 1.50% of the company’s stock.

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.