Givaudan SA: 2Q in line. Exit rates/tariff -ves diminish 2H momentum

Research evidence excerpt

Givaudan SA: 2Q in line. Exit rates/tariff -ves diminish 2H momentum

Update

July 23, 2026 06:04 AM GMT

Morgan Stanley & Co. International plc+MGivaudan SA | Europe Lisa H De Neve

Equity Analyst

2Q in line. Exit rates/tariff -ves Lisa.De.Neve@morganstanley.comSelina Wang +44 20 7677-0250

Research Associate

Selina.Wang1@morganstanley.com +44 20 7425-2552

diminish 2H momentum

Givaudan SA (GIVN.S, GIVN SE)

Chemicals | Switzerland

AlphaSignals Earnings Reaction

Stock Rating Equal-weight

Weakens our thesis In-line Modest revision lower Industry View In-Line

Impact to our thesis Financial results versus consensus Direction of next 12-month Price target SFr 2,900.00

consensus EPS Shr price, close (Jul 22, 2026) SFr 3,383.00

52-Week Range SFr 3,668.00-

Source: Company data, Morgan Stanley Research 2,566.00

Mkt cap, curr (mn) SFr 31,381

Bottom line: We expect the shares to underperform today and some investors to Net debt (12/26e) (mn)* SFr 3,547

EV, curr (mn)* SFr 35,090

take profit following recent share price strength as (i) the 2Q26 LFL beat at +4.3%

was likely below recent market expectations, with notably Fine Fragrance growth * = GAAP or approximated based on GAAP

moderating to 5% and North America T&W weak at -3%, partially offset by strength

in T&W SAMEA (+6%), and (ii) the prospect for higher prices in 2H26 will be broadly

offset by the repayment of US tariff receipts, which may put pressure on LFL

momentum into 2H (despite easier comps) next to normalisation in high-mix

categories (incl. fine fragrance).

FY26 outlook – LSD% 2H26 input inflation: Givaudan points to low-single-digit

input cost levels for 2H26 (which we think is below market expectations of ~5%)

and states it is implementing price increases to fully compensate for input costs. It