RECKITT : Breaking Golden Rule #6: why cash can matter

研报英文原文证据摘录

RECKITT : Breaking Golden Rule #6: why cash can matter

EQUITIES

FOOD & HPC

RECKITT OUTPERFORMPRICE* 4,518p  TARGET PRICE 6,350p (UPSIDE 41%)

RECKITT ADR OUTPERFORMPRICE* USD12.4  TARGET PRICE USD17.1 (UPSIDE 38%)

Breaking Golden Rule #6: why cash can matter

Breaking Golden Rule #6: why cash can matter14 MAY 2026

Securities Research Report Our Golden Rule #6 (see The Golden Rules) is that cash does not matter (on a one year view

Production time: 05:28* (London time) there is no meaningful linkage between cash generation and TSR in EU Staples).

Research Analysts & Publishing Entities

Jeff Stent Very occasionally we see something so standout, we have to make an exception

BNP Paribas London Branch Notwithstanding our continued belief in Golden Rule #6, very occasionally we see something so

(+44) 207 039 9469 standout from a cash perspective that we feel compelled to make an exception. The last time thatjeff.stent@uk.bnpparibas.com

we did this was in early 2025 when we upgraded JDE Peet’s to Outperform for the first time in

Mikheil Omanadze history (see 5 years in the brewing).

BNP Paribas London Branch

(+44) 203 430 8616

mikheil.omanadze@uk.bnpparibas.com Reckitt looks set to return >40% of its market cap. over the next 4 years

As we explore within, incorporating what we feel are reasonable assumptions for a MJN exit, we

Camille Queulvee

estimate that Reckitt should return over 40% of its market cap to shareholders over the next fourBNP Paribas London Branch

(+44) 207 039 9436 years (in the form of SBB’s, regular dividends and special dividends). Both including and excluding

camille.1.queulvee@uk.bnpparibas.com MJN we have Reckitt trading on a HSD FCF Yield (FY27e/FY28e).

While FY26 LFL sales growth guidance looks tight, the valuation looks extremely inviting