Johnson Matthey Rating, Price Target Raised as Berenberg Notes Precious Metal Proxies Correlation

07:24 AM EST, 01/05/2026 (MT Newswires) -- Berenberg raised Johnson Matthey's (JMAT.L) rating and price target, noting the correlation of the British specialty chemicals and sustainable technologies company's shares with precious metal proxies. In a note published Monday, the research firm revised the rating on the stock to buy from hold and the price target to 25.50 pounds sterling from 20.50 pounds. EPS estimates for fiscal years 2026, 2027 and 2028 were also increased by 1.9%, 4% and 5.1%, respectively. "Johnson Matthey remains one of the few names in the European chemicals sector where upgrades to consensus EBIT are distinctly more plausible than downgrades in 2026. In contrast to the oversupplied market for industrial chemicals, the platinum group metals (PGM) market remains tight," analysts wrote. "Shares have begun to correlate with proxies for the well-underpinned gold price. The capital intensity of Johnson Matthey is declining and its cash flows are improving." Although analysts view the proposed changes to the emissions law in Europe as "not a game-changer" for Johnson Matthey's clean air segment, they see it as "helpful" for the company over the near to medium term.