LONDON (ShareCast) - (Sharecast News) - JPMorgan Cazenove upgraded packaging and paper group Mondi on Wednesday to 'overweight' from 'neutral'.
The bank pointed to limited downside risk in containerboard markets and to upside risks in kraft paper markets.

In addition, it said consensus estimates are becoming more reasonable, signalling the end of the earnings downgrade cycle.

JPM also said that through the cycle (TTC) earnings still being around 60% ahead of 2024 EBITDA suggests significant value unlock for medium to long-term investors.

The bank highlighted low valuation multiples, which it said are now more reliable considering that the latest earnings estimates are more reasonable.

It trimmed the price target to 1,430p from 1,435p, which represents around 20% upside.

At 1015 BST, the shares were up 2.3% at 1,215.50p.

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