Berenberg Upbeat on Holcim Amid Continued Portfolio Evolution; Hold Maintained

10:51 AM EDT, 09/08/2026 (MT Newswires) -- Berenberg is optimistic on Holcim's (HOLN.SW) business strategy, highlighting the continued evolution of the Swiss building materials group's portfolio after spinning off its North American assets into a separate company in 2025. "Following the spin-off of Holcim's North American assets (Amrize) in 2025, we see a clear strategy that we think can be characterised by the following factors: i) a product portfolio that is increasingly focused on premium brands in sustainable construction, which should aid pricing power, ii) targeted M&A activity to supplement organic growth, iii) an increased emphasis on growth in the Building Solutions division (such as roofing and walling) to bring it up to c50% of the total portfolio, and iv) a robust financial focus, with average mid-term recurring EBIT growth of 6-10%, generating sufficient free cash flow to fund both growth and capital returns while still maintaining a robust balance sheet," analysts said in a note published Tuesday. "We think all attributes of this business strategy - operational and financial - have been evident in the past year and we expect the group to deliver more of the same over the next year. However, when we consider the valuation - particularly on a relative basis to other peer group companies - we see the equity as fairly valued." The research firm retained the stock's hold rating and price target of 70 francs.