RAIZ4: Lower Discount Rate And Asset Reshuffle Will Unlock Future Upside

Analysts have revised Raízen's fair value estimate downward by approximately R$0.18. They cite updated projections for revenue growth and a reduced discount rate in their latest evaluation.

Analysts have slightly lowered their price target for Raízen to R$2.16 from R$2.20, citing minor adjustments in profit margin and forward price-to-earnings estimates. Overall growth projections remain steady.

Analysts have revised their price target for Raízen downward from $2.38 to $2.20. They cite improved revenue growth and profit margin projections, but also factor in a significantly reduced estimated price-to-earnings ratio for the company's future outlook.

Raízen’s fair value estimate has been revised downward, primarily reflecting a moderate contraction in its future P/E multiple while top-line growth expectations remain flat, resulting in a new analyst price target of R$2.40. What's in the News Raízen S.A. added to Brazil Small Cap Index.

Despite notable improvements in Raízen's net profit margin and consensus revenue growth forecasts, the consensus Analyst Price Target has been revised downward from R$2.80 to R$2.63. What's in the News Raízen S.A. announced a Special/Extraordinary Shareholders Meeting to be held remotely in Brazil.

The downward revision in Raízen’s consensus price target reflects analyst concerns over slightly weaker revenue growth projections and a marginal dip in net profit margin, resulting in a new fair value estimate of R$2.84. What's in the News Raízen S.A. is exploring the sale of its aviation fuel distribution business to reduce debt, reportedly working with Bank of America; the business may be valued up to $200 million, and shares rose 5.2% on the news.

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

AnalystConsensusTarget has decreased revenue growth from 0.0% to 0.0%, decreased profit margin from 2.2% to 1.6% and increased future PE multiple from 11.7x to 16.7x.

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

AnalystConsensusTarget has decreased future PE multiple from 16.9x to 12.6x and decreased discount rate from 26.1% to 21.1%.

AnalystConsensusTarget has decreased revenue growth from 0.1% to 0.0%.

AnalystConsensusTarget has decreased revenue growth from 1.6% to 0.1%, increased profit margin from 1.8% to 2.0% and decreased future PE multiple from 33.1x to 16.7x.